Disclaimer: This text was contributed by PrivatPools. The views, thoughts, and opinions expressed in the article are the author's own and do not reflect the opinion of the editorial.

Bitcoin's price has been on the rise for several weeks now: in just a month, BTC has nearly doubled (from $42,000 in early February to $71,000 in early March) and set a new all-time high. Alongside Bitcoin, other digital currencies are also experiencing growth. But what's driving this surge? Let's delve into it!

The main reasons behind the rise of the leading digital currency are the influx of long-term investments, positive news, and the upcoming halving, according to experts. The upcoming U.S. elections and changes in interest rates also positively influence Bitcoin's price. Analysts at JPMorgan believe that the imminent Bitcoin halving is the primary driver of digital gold.

Indeed, halving stimulates the rise in BTC price. Traditionally, before and immediately after halving, demand exceeds supply, leading to a surge in Bitcoin's value. This is not just a hypothesis but data based on all previous halvings: after the first reward halving in 2012, Bitcoin's price surged from $12 to $1,000, and after the second halving in 2016, it rose from $670 to $20,000. The latest halving occurred on May 11, 2020, with Bitcoin's price at $8,821; within a month, it soared to $63,233.

The second factor affecting BTC price is the approval of the Bitcoin ETF by the SEC earlier this year. Analysts are confident that this factor has already been priced into Bitcoin, but its positive impact continues to contribute to the rise in the digital gold's value. The introduction of Bitcoin ETFs has not only affected the crypto market but also the broader financial market, contributing to broader recognition of Bitcoin and increasing its liquidity.

A less obvious factor influencing BTC price, according to experts, is the U.S. presidential elections. Firstly, Bitcoin's price traditionally rises during election years, and secondly, the actions of the Federal Reserve (Fed) before elections significantly impact the market. By 2024, inflation in the U.S. had decreased from 10% to 3%, leading many to expect the Fed to lower interest rates and soften its stance on cryptocurrencies. Additionally, the current frontrunner in the pre-election race is Donald Trump, who is quite crypto-friendly.

Against the backdrop of these events, experts agree that the Bitcoin bull rally will continue for at least another year and a half. Tom Lee has already stated that BTC will reach $150,000 by the end of 2024; Peter Brandt has forecasted a Bitcoin price of $200,000 in 2025; and Tour Demester predicts Bitcoin at $600,000 by 2026. In turn, Bitfinex analysts consider a conservative BTC target ranging from $100,000 to $120,000 in the fourth quarter of 2024 and anticipate peak price levels in 2025. Well-known internet guru PlanB stated that after the upcoming halving, the first cryptocurrency will become scarcer than gold and real estate, implying a target of $500,000.

The mining pool team at PrivatPools has also voiced its Bitcoin price forecast: we expect BTC to reach $125,000 - $175,000 per coin by the end of 2025.