Analysts think Bitcoin will go over $45,000 because the price of gold is going up.

Analysts at JP Morgan think that Bitcoin's real price should be around $45,000 right now and that it could go back to this level at some point this year. The price of gold, which is right around $2,000, is the reason for this. Because both BTC and gold are hedges, their prices tend to be close to each other.

Even though the prediction is good for Bitcoin investors, JPM analysts say that the world's biggest cryptocurrency probably won't go much higher than that price unless big things happen. But Bitcoin's next "halving" will happen in the first half of 2024. This is likely to cause the price to go up, as it has always done in the past. The halving will cut in half the amount of BTC that Bitcoin miners get paid. This will make the cryptocurrency harder to find.

Previous "halvings" of Bitcoin, like the ones in 2016 and 2020, caused the price of BTC to rise and made the cryptocurrency market as a whole more optimistic. Analysts at JPM expect BTC to go up in price by about 25% over the next 12 months. However, governmental uncertainty and pressures on the global economy could slow that growth.

(Regarding Bitcoin)

Bitcoin is the first decentralised digital currency. It was created in 2008 by an unknown person or group of people using the name Satoshi Nakamoto. It works on a peer-to-peer network that is not controlled by a central authority. This means that trades can happen directly between users without the need for middlemen like banks. Bitcoin uses cryptography to keep deals safe and keep track of how many new units of currency are made. Transactions are written down on a public log called the blockchain. This makes it possible for anyone to check if a transaction is legitimate and to see who owns bitcoins. There will only ever be 21 million bitcoins, which is expected to happen around the year 2140. The price of bitcoin is very unstable, and it has gone through many boom and bust waves over the years.