Bitcoin’s price could reach a staggering $225,000 by the end of 2026, according to Mark Palmer, Senior Research Analyst at Benchmark Company. In a recent interview on Yahoo Finance’s Opening Bid podcast, Palmer explained his bullish outlook, citing a confluence of factors driving the cryptocurrency’s potential surge.
Palmer points to the recent US election results as a significant catalyst. The newly elected President Trump and Vice President Vance, both crypto-friendly, signal a more favorable regulatory environment compared to the previous administration. This shift, combined with anticipated supportive cabinet appointments, marks a “sea change” in the government’s stance towards the crypto space, according to Palmer.
However, the analyst thinks that the groundwork for a significant rally was laid even before the election. He highlights the Bitcoin halving event in April 2023, which reduced the rewards paid to Bitcoin miners, constricting supply. This event, occurring every four years, is a core component of Bitcoin’s deflationary design, a key attribute for its proponents.
Palmer argues that the historical precedent set by previous halving events supports the bullish case. Following each of the past three halvings, Bitcoin’s price experienced a significant uplift in the subsequent 14 to 18 months. This pattern reflects the changing supply-demand dynamics triggered by the halving.
What distinguishes this cycle, according to Palmer, is the potential for accelerated institutional adoption of crypto. He draws parallels with the rise of gold ETFs in the early 2000s, suggesting that Bitcoin could follow a similar trajectory, starting with small allocations and eventually becoming a mainstream investment for institutional portfolios. This increased demand from institutional investors is a key driver behind his $225,000 price target.
Palmer acknowledges that this target could prove conservative, depending on the extent of institutional involvement and the overall positive momentum generated by the more favorable regulatory landscape. He emphasizes the importance of institutional adoption as the primary factor that will determine the ultimate price trajectory of Bitcoin. While acknowledging the potential for significant gains, Palmer’s analysis also implicitly recognizes the inherent volatility of the cryptocurrency market, suggesting that the path to $225,000 may not be without its bumps.
