Notable Bitcoin Forecast from Pantera Capital

While the crypto sector is in the most violent period of the bear market, the largest cryptocurrency hedge fund Pantera Capital offered a perspective on the Bitcoin forecast and crypto market by giving its opinion.

Pantera Capital, the world’s largest crypto hedge fund based in the USA and in terms of assets under its management, took into account the supply function of crypto money in its BTC price prediction. With a limited supply of 21 million, Bitcoin was designed by Satoshi Nakamoto as a structure whose supply is decreasing regularly. This provides a basis for predicting the price of Bitcoin. Accordingly, considering that the BTC supply is halved every 4 years, depending on the assumption that the demand for BTC remains constant; this approach means a rise in Bitcoin price when other conditions are ignored. Currently, Bitcoin miners receive 6.25 BTC rewards for each generated block, based on transaction verifications. After the next halving event, which is expected to take place in April 2024, the block rewards will be halved and updated to 3,125 BTC.

Pantera Capital built its Bitcoin price prediction on this reality. According to historical data, it was mentioned that Bitcoin bottomed out 477 days before the halving event and then entered an upward trend. In the post-halving period, in about 1.5 years, Bitcoin peaked in its bullish cycle.

Pantera Capital predicts that if history repeats itself, Bitcoin will hit the bottom by the end of this year and start rallying in the first months of 2024. With the realization of the halving, it is estimated that the upward momentum will accelerate. The company’s prediction is that BTC will go up to $ 36,000 before the halving and will reach the band of $ 149,000 in the post-halving period.

Talking about the fear that more companies will be affected after the collapse of FTX, Pantera Capital thinks that the volatility in the markets will increase further as investors go to asset adjustment. According to the company, besides FTX, Solana and other assets associated with Aptos will be more affected. On the other hand, Pantera Capital stated that its risk in FTX is limited to buying Blockfolio earnings. These earnings were in FTX stock and FTT tokens, and the company announced on November 8 that the assets were liquidated.

Pantera Capital officials believe that the general negative situation in the market will weaken the individual investor base. It is thought that the suspicions of institutions that were cautious towards the crypto sector will increase. However, officials expect negative thoughts to subside over time. Pantera officials, who also commented on the regulations, said that they expect stricter regulations for crypto companies that serve the individual base, while mentioning that the DeFi field is extremely important for the industry due to its transparent structure.