Ripple CEO Brad Garlinghouse has made a bold prediction for the cryptocurrency market, predicting that the total value of cryptocurrencies will double within the year. He attributes these predictions to significant developments, including the launch of the first U.S. physical Bitcoin exchange-traded fund (ETF) and the upcoming Bitcoin “halving.”
“The overall market capitalization of the cryptocurrency industry… is easily predicted to double by the end of this year… (and is therefore) influenced by all these macro factors,” Garlinghouse told CNBC. He highlighted the positive regulatory momentum in the US as another factor pushing the market to new heights.
Ripple CEO’s forecast is consistent with expectations that the cryptocurrency market’s market capitalization will exceed $5 trillion this year. He attributes this expected growth to macro factors such as the launch of the first U.S. spot Bitcoin ETF and the upcoming Bitcoin halving.
first approval US Spot Bitcoin ETF The announcement from the U.S. Securities and Exchange Commission (SEC) on January 10th is an important milestone. These ETFs allow institutional and individual investors to access Bitcoin exposure through trading on U.S. stock exchanges without directly owning the underlying asset.
Bitcoin halvings, which occur approximately every four years, halve the total mining rewards available to Bitcoin miners. The event, scheduled for later this month, is expected to have a greater impact on market dynamics.
Garlinghouse highlighted shrinking supply and expanding demand as the fundamental drivers of market growth. “It doesn’t take an economics major to explain what happens when supply contracts and demand expand,” he said.
As of April 4, the total cryptocurrency market capitalization was approximately $2.6 trillion. This figure is expected to double, meaning the new total market capitalization will exceed $5.2 trillion.
Bitcoin, the leading digital currency, has seen significant growth over the past year, gaining more than 140% in value. Despite hitting an all-time high above $73,000 on March 13, its value has since fallen back below the $70,000 level.
Garlinghouse also highlighted the potential for positive regulatory developments in the U.S., suggesting a shift toward greater clarity and acceptance for the cryptocurrency industry. He acknowledged the SEC’s recent enforcement actions, including the lawsuit. ripple Despite claiming illegal XRP sales, he expressed optimism about future regulatory clarity.
Garlinghouse’s optimistic outlook echoes others in the cryptocurrency industry, including Marshall Beard, COO of U.S. cryptocurrency exchange Gemini, who expects the price of Bitcoin to hit $150,000 by the end of this year. is also shared. Despite expected volatility due to factors such as new regulations and supply dynamics, overall momentum suggests continued growth in the cryptocurrency market.
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