Investors are anticipating a massive rally in BTC price to a new all-time high (ATH) after the much-awaited Bitcoin halving in mid-2024. Historical data indicates that BTC price typically starts moving higher after halving. Analysts have also predicted a massive upside momentum in Bitcoin as the halving date comes near.

Traditional financial giants such as Standard Chartered forecasted Bitcoin price to hit $50,000 by the end of this year and $120,000 by the end of 2024. Analysts believe cooling inflation and monetary policy pivot by central banks including the U.S. Federal Reserve.

IMF Warns Continuing Inflation And Weaker Economic Growth

The International Monetary Fund (IMF) released its World Economic Outlook for 2024 on Tuesday, October 10. The IMF puts the pace of consumer price increases across the world to 5.8% for next year, recommending central banks to keep monetary policy tight.

IMF sees inflation remaining higher in some countries until 2025. Tight labor market in the US, global food and energy disruptions from global lockdown, Russia’s invasion of Ukraine, and other geopolitical events.

IMF’s chief economist Pierre-Olivier Gourinchas said:

“Monetary policy needs to remain tight in most places until inflation is durably coming down towards targets. We’re not quite there. We see a global economy that is limping along, and it’s not quite sprinting yet.”

The IMF sees global economic growth of 2.9%, down 0.1% from this year despite several macro and geopolitical events that impacted growth this year. It cited the pandemic, Russia’s invasion of Ukraine, the breakdown of the world economy into blocs, and the central bank policy tightening as major reasons.

Meanwhile, the IMF raised its growth forecast for the U.S. to 2.1% in 2023 from 1.8% and to 1.5% in 2024 from 1%. China and the Euro Area are expected to grow slower in 2024.

Read More: Week Ahead for Bitcoin and Crypto With Eyes on US CPI and Other Macros

How Bitcoin Will Perform Amid Current IMF Forecasts?

The crypto market has a major event next year — Bitcoin halving. It is expected to happen in April 2024. Popular analysts and investors expect BTC price to hit new ATH before the halving, but high inflation still remains a big concern. Investors are also awaiting a spot Bitcoin ETF approval by the U.S. SEC, which will shoot up crypto prices.

BTC price currently trades at $27411, trading mostly sideways. However, the price has increased significantly since it started to move upwards this January.

Surprisingly, Binance CEO “CZ” made similar predictions on the post-halving Bitcoin price rally. He said BTC price to hit multiple ATH after Bitcoin halving.

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Varinder has 10 years of experience in the Fintech sector, with over 5 years dedicated to blockchain, crypto, and Web3 developments. Being a technology enthusiast and analytical thinker, he has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers. With CoinGape Media, Varinder believes in the huge potential of these innovative future technologies. He is currently covering all the latest updates and developments in the crypto industry.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.