Michael Saylor Anticipates a Bull Run in 2024, Identifying a Bitcoin ETF as a Significant Wall Street Advancement Over the Next Three Decades
In a recent interview with Bloomberg, Michael Saylor, the Co-Founder and Executive Chair of MicroStrategy, shared his optimistic view on the future of Bitcoin in 2024. He believes that the introduction of spot Bitcoin ETFs will play a significant role in this bullish outlook. Saylor compared this development to the creation of the S&P 500, calling it the “biggest development on Wall Street in 30 years.”
Saylor’s insights indicate a potential shift in the dynamics of the Bitcoin market. Currently, the market is predominantly driven by long-term holders and traditional crypto investors. However, once spot ETF approvals are announced, which he predicts could happen as early as January, there could be a surge of mainstream and institutional investors entering the market.
This influx of new investors is expected to create a substantial demand shock. Saylor points out that there are currently only 900 Bitcoins available for purchase each day from natural sellers. This number is speculated to drop to 40 Bitcoins per day, resulting in a supply shock. The combination of these factors sets the stage for a major bull run in 2024, according to Saylor.
MicroStrategy, the company led by Saylor, has a unique approach to capitalize on this potential market shift. Saylor describes the company as agile, similar to an airline in terms of efficiency, in contrast to the slower nature of spot ETFs, which he compares to shipping lines. MicroStrategy aims to enhance its Bitcoin holdings through various methods, such as profit and loss operations and capital market activities. The focus is on long-term investor value and the value of Bitcoin per share.
Another significant development that Saylor highlights is the new rules for cryptocurrency accounting set by the Financial Accounting Standards Board (FASB). These rules, set to be implemented in 2025, will allow corporations to reflect the volatility of their cryptocurrency holdings through fair value accounting. Saylor sees this as a game-changer for corporate balance sheets, as it will turn them into dynamic assets.
In conclusion, Saylor’s bullish outlook for Bitcoin in 2024 is based on the potential introduction of spot Bitcoin ETFs and the resulting influx of mainstream and institutional investors. MicroStrategy aims to take advantage of this market shift through its unique operational approach. Additionally, the new rules for cryptocurrency accounting set by the FASB are expected to have a significant impact on corporate balance sheets.