Executive Summary

 

• The positive developments we observed in Q4’23 have escalated further in the first quarter of this year. At the conclusion of 2023, several indications emerged suggesting that 2024 could be promising, and some of these initial indicators have and continue to materialize.

 

• The introduction of spot bitcoin ETFs in the US represents a significant regulatory milestone and commitment from the world’s largest asset managers. These ETFs were met with unprecedented demand, furthering the bullish outlook for the long term. As BTC approaches its next halving, we are closely monitoring its price trajectory relative to previous cycles. 

 

• Notable advancements are occurring in other areas of the crypto ecosystem. Emerging segments, including decentralized social media and blockchain-based applications to digitize access to physical infrastructure, are gaining traction alongside a growing trend of real-world asset tokenization.

 

• The establishment of a tokenized US Treasury bond fund by the world’s largest asset manager signals a potentially significant institutional trend, while Ethereum's successful Dencun upgrade is another sign of the maturation of the world’s largest smart contracts platform.

 

• We believe the crypto market is poised for a strong year, supported in part by bitcoin hitting its all-time high much earlier than expected. This report aims to set the foundation for this thesis, exploring our assessment of the crypto market in Q1'24 and our projections going forward.