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Bitcoin’s price has been reaching new highs, surpassing $40,000 this week. Just two months ago, the price for a whole coin was below $27,000. The surge in price has been driven by growing excitement over the potential approval of a Bitcoin ETF by the SEC. Looking ahead to 2024, there are two potential macro tailwinds that could further boost Bitcoin’s price. First, Bitcoin’s halving is scheduled for April 2024, which could lead to a shrinking supply of BTC. Second, there are expectations of interest rate cuts by the Federal Reserve next year, which could increase the supply of dollars. This combination of factors could create a supply and demand imbalance in favor of Bitcoin’s price. Recent data from Glassnode shows that a record 70% of circulating Bitcoin supply has been inactive for a year or more, indicating strong conviction from current BTC holders. Additionally, 83% of the BTC supply is currently held at a profit. These supply-limiting factors, along with the potential approval of a Bitcoin ETF and lower borrowing costs, could contribute to a significant increase in Bitcoin’s price in 2024.