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⚡Standard Chartered Bullish on Bitcoin🏦

Croxroad

19 Mar 2024 — 4 min read

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💰 Bitcoin Price Surge Expected

Standard Chartered, a global banking institution, has adjusted its predictions for Bitcoin's trajectory in the coming years, aligning them with recent market trends and the influx of investment into spot Bitcoin exchange-traded funds (ETFs). Geoff Kendrick, the head of crypto research at Standard Chartered, detailed the bank's revised forecast, drawing parallels between Bitcoin's performance and the introduction of gold ETFs in the United States. Kendrick highlighted the potential impact of ETF inflows and the involvement of reserve managers in Bitcoin, suggesting a possible overshoot to $250,000 by 2025 if inflows meet expectations.

The bank's analysis suggests a stabilisation point around $200,000 for Bitcoin by 2025, with previous predictions aligning with the current outlook. Standard Chartered's bullish stance on Bitcoin dates back to earlier statements, with declarations of the end of the "crypto winter" in April the previous year, followed by optimism about a "crypto spring" in November. Kendrick's updated forecast for 2024 places Bitcoin's potential at $150,000, fueled by the introduction of spot Bitcoin ETFs and the upcoming halving event in April.

In addition to Bitcoin, Standard Chartered maintains optimistic projections for Ethereum, anticipating approval for a spot ether ETF by the U.S. Securities and Exchange Commission (SEC) in May. Kendrick's earlier prediction of Ethereum reaching $4,000 by the approval date has been further bolstered, with expectations of significant inflows and a potential price surge to $8,000 by the end of 2024. This outlook is supported by Ethereum's recent upgrade, which is expected to lower transaction costs and enhance its appeal to investors. With Bitcoin's projected ascent to $200,000 by 2025, Standard Chartered envisions Ethereum reaching $14,000, reflecting the bank's confidence in the cryptocurrency's future trajectory.

💵 BitMEX Flash Crash

Late Monday, a sudden and significant crash shook the Bitcoin (BTC) market, sending prices plummeting to as low as $8,900 on the cryptocurrency exchange BitMEX. This abrupt decline, occurring at 22:40 UTC, starkly contrasted with prices on other exchanges, which remained steady above $60,000. Within a mere two minutes, BTC prices tumbled to their lowest point since early 2020, only to swiftly rebound to $67,000 by 22:50 UTC, indicating a remarkably rapid recovery.

During this tumultuous episode on BitMEX, BTC's global average price hovered around $67,400, highlighting the magnitude and briefness of the crash. Speculation abounded on social media platforms, with some attributing the price plunge to whale selling. Notably, one user, @syq, pointed out that over 850 BTC, equivalent to $55.49 million, were sold on BitMEX, driving the XBT/USDT spot pair to $8,900.

The BitMEX XBT index, tracking Bitcoin's price, alongside the XBT/USDT pair, representing Bitcoin's tether-denominated price, witnessed turbulence during the crash. Following this market upheaval, BitMEX promptly initiated an investigation into the large sell orders. Via social media, BitMEX reassured users of the platform's operational integrity, emphasising that all systems were functioning normally. Despite the unexpected behaviour observed, the trading platform affirmed the safety of all funds. However, specific details regarding user actions and further measures taken remained undisclosed as the investigation unfolded.

🧑‍💻 Centra Tech

In 2017, Sohrab Sharma, alongside Robert Farkas and Raymond Trapani, embarked on a venture that promised to revolutionise the cryptocurrency landscape. Their brainchild, Centra Tech, boasted a range of cryptocurrency financial products, notably featuring the "Centra Card," a purported cryptocurrency debit card set to redefine payment experiences. However, beneath the facade of innovation lay a web of deception and false promises.

Centra Tech enticed customers with the prospect of using their Centra Card for transactions at establishments accepting Visa or Mastercard payments. Simultaneously, they persuaded investors to acquire unregistered securities in the form of digital coins, branded as "Centra Tokens." These manoeuvres, according to the Justice Department, were part of a carefully crafted scheme to defraud unsuspecting individuals.

The elaborate ruse extended to fabricated credentials and partnerships. Centra Tech's founders concocted a fictional figure, "Michael Edwards," purportedly boasting extensive banking experience and a Harvard master's degree. Moreover, they peddled falsehoods about partnerships with industry giants such as Bancorp, Visa, and Mastercard, along with exaggerated claims of possessing licences in 38 states for money transmission and other activities.

The consequences of their deception were severe. All three co-founders were convicted and sentenced to prison, as confirmed by the Securities and Exchange Commission. U.S. Attorney Ilan T. Graff condemned Sharma's role in perpetrating the elaborate fraud, highlighting the harm inflicted on investors who fell victim to Sharma and his cohorts' deceit. The downfall of Centra Tech serves as a cautionary tale, underscoring the importance of due diligence and scepticism in the rapidly evolving world of cryptocurrency.