Microstrategy stock sees uptick as analyst forecasts Bitcoin to reach $150k by 2025
According to Mark Palmer, an analyst at The Benchmark Company, the price of Bitcoin is expected to reach $150,000 by the end of 2025. Palmer expressed his optimism in a note to investors on April 8, where he also raised his price target for MicroStrategy (MSTR) to $1,875 from $990. This increase is primarily based on MicroStrategy’s significant Bitcoin holdings.
Palmer believes that MicroStrategy’s Bitcoin holdings will greatly benefit from the upcoming halving event, which will reduce the supply of Bitcoin by half. This event has historically led to significant price appreciations for Bitcoin, as seen in the halvings of 2012, 2016, and 2020. Palmer suggests that the upcoming halving could have a similar impact, especially with the potential increase in demand from institutional investors entering the market through spot Bitcoin ETF products.
Another factor considered by Palmer in his prediction for MicroStrategy’s stock target is the company’s strategic accumulation of Bitcoin. Under the leadership of Michael Saylor, MicroStrategy has been accumulating Bitcoin at an average price of $35,160. As of April 9, the company holds 214,245 Bitcoins. Palmer expects this trend to continue, projecting that MicroStrategy will hold approximately 298,246 Bitcoins by the end of 2025.
Palmer’s optimistic outlook for Bitcoin is shared by other analysts. Anthony Scaramucci, the founder of Skybridge Capital, expects Bitcoin to reach at least $170,000 within the 18-month post-halving cycle. Similarly, analysts at crypto exchange Bitfinex have set a price target for Bitcoin between $150,000 and $169,000. However, they note that this halving is different from previous ones because Bitcoin had already reached an all-time high prior to the event.
Overall, the post-halving period is seen as a bullish time for Bitcoin, with analysts expecting significant price increases. As for MicroStrategy, its strategic accumulation of Bitcoin and potential increase in demand from institutional investors could further contribute to its success.
