In 2024, silver has notably outperformed Bitcoin, reclaiming its position as the eighth-largest asset by market cap, a spot it lost to Bitcoin in March. This resurgence in silver’s value contrasts sharply with Bitcoin’s recent price movements.
Since March 14, when Bitcoin reached its peak of $73,737, silver has experienced a significant rally, increasing by 33.4%. During the same period, Bitcoin has seen a price decline of 9.5%. Currently, the market capitalization of silver stands at $1.83 trillion, surpassing Bitcoin’s market cap by $500 billion. For Bitcoin to surpass silver once again, its price would need to surge by 40% to approximately $93,000, assuming no changes in silver’s market cap.
Market Positions and Performance
Bitcoin now ranks as the ninth-largest asset globally, trailing behind heavyweights such as gold, Microsoft, Apple, Nvidia, Google, Saudi Aramco, Amazon, and silver. On the other hand, gold has also shown impressive gains, increasing by 22.4% since February 13, with a current market cap of $16.4 trillion, as per Trading Economics.
Industry Perspectives on Bitcoin’s Price Movements
The trajectory of Bitcoin’s price post-its March peak has been a topic of division among experts. Dylan LeClair, a noted Bitcoin analyst, pointed out that historically, Bitcoin tends to double its value within months of setting new highs, especially around halving events. However, given Bitcoin’s substantially larger market cap compared to previous cycles in 2020, 2016, and 2012, replicating such rapid growth has become increasingly challenging.
Mike Novogratz, the founder and CEO of Galaxy Digital, predicts that Bitcoin will undergo a consolidation phase, fluctuating between $55,000 and $75,000 over the next month, with potential for a price increase as the second quarter ends.
Meanwhile, analysts from the cryptocurrency trading platform Bitfinex are even more bullish, forecasting that Bitcoin could reach $150,000 within the next 12 months. This optimistic prediction is primarily driven by the anticipation surrounding spot Bitcoin exchange-traded funds and the effects of the post-halving period.
Market Sentiment
Currently, Bitcoin’s market sentiment score stands at 70 out of 100, categorizing it within the “Greed” zone of the Crypto Fear and Greed Index. This sentiment is a reflection of the overall investor enthusiasm and confidence in the cryptocurrency’s future performance.
As the debate over Bitcoin’s future price continues, the juxtaposition of its performance with traditional assets like silver and gold provides a fascinating snapshot of the evolving landscape of global finance. With Bitcoin’s influence and adoption growing, its comparison with established financial assets invites both speculative interest and analytical scrutiny.
