idelity Investments has released its quarterly analysis, offering an optimistic view on the future of Bitcoin and Ethereum. The report, reflecting on the market's performance by the end of 2023, suggests a bullish trend for both cryptocurrencies in the short and long term.
Bitcoin's Bright Future
The report highlights Bitcoin's substantial growth, with a ~154% rise by the end of 2023 and a 92.63% increase over the last 12 months. The anticipated Bitcoin Halving in April 2024 is expected to further enhance BTC's value by reducing its supply. Fidelity also notes the positive impact of Spot ETF applications' approval on Bitcoin's outlook.
Ethereum's Steady Climb
Ethereum, too, shows a strong performance in Fidelity's report, with a 90% year-to-date increase at the time of publication and a 44.90% rise over the last 12 months. The report credits Ethereum's growth to its ongoing token burn mechanism, which has removed nearly 311,000 tokens from circulation since September 2022's Merge. The upcoming 2024 upgrade is poised to further boost ETH's validation process.
Market Reaction and Crypto Projections
Current market conditions reflect the report's optimistic projections, with Bitcoin trading at $44,738.13 and Ethereum at $2,425.65. Technical analyses, including Trend Lines, Average Directional Index, and Relative Strength Index, support the positive outlook for both cryptocurrencies.
A Promising Horizon for Bitcoin and Ethereum
Fidelity's quarterly report underscores the strong potential for growth in Bitcoin and Ethereum, backed by significant technological milestones and market developments. As the crypto community anticipates the Bitcoin Halving and Ethereum's next upgrade, the outlook for these leading cryptocurrencies remains promising.
