Armstrong, also commenting on Bitcoin’s recent rebound after finding support around $60,000, argued that the bottom of the latest market cycle may have been reached. Armstrong stated, “Personally, I believe that the bottom of this latest cycle in Bitcoin is behind us. We’ve already seen it start rising from around $60,000.”
Coinbase CEO Armstrong believes that regulatory developments in the US play a significant role in his $400,000 target for Bitcoin. Armstrong specifically mentioned that investors are closely watching the CLARITY Act, which aims to clarify the legal framework of the cryptocurrency market. However, according to Armstrong, the bill doesn’t necessarily need to pass for Bitcoin to continue its upward trend. Even if the bill fails, subsequent regulatory rules could be decisive for the market’s direction.
Armstrong believes that the passage of the CLARITY Act could particularly facilitate the entry of institutional investors into the cryptocurrency market. He notes that clearer regulations would eliminate significant uncertainty for banks and asset managers, describing the bill as a “regulatory checkbox.”
The Coinbase CEO said, “This would be a huge milestone. It could pave the way for institutional capital and bring products like tokenized shares to the US. That would be very positive for the industry.”
Armstrong also believes that pressure on global bond markets could support demand for alternative assets like Bitcoin. If these factors combine, the Coinbase CEO thinks Bitcoin could enter another strong bull cycle in the coming years, reaching $400,000 by 2030.
*This is not investment advice.
