Bank of America Predicts Gold to Reach $3,000, Bitcoin $75,000
In the world of finance, all eyes are on Bitcoin and gold as both assets are poised to make significant gains in the near future. According to a recent report from Bank of America, Bitcoin is nearing the $69,000 price range and is only 6% away from breaching its all-time high of $73,737. On the other hand, gold has crossed the $2,700 mark and is currently trading at $2,727 in the indices. If the precious metal continues to hold positive momentum, its price could climb above the $2,800 mark.
Bank of America’s price forecast to investors suggests that both Bitcoin and gold could soon rally in the charts. The report highlights the Federal Reserve’s determination to slash interest rates in the coming quarters as a key factor that could boost the prices of both assets. According to the bank’s latest report, an investment made today could reap the benefits during Q2 of 2025.
The Bank of America report projects that Bitcoin could reach $75,000, while gold could hit $3,000. The report states, “Fed determination to slash real interest rates coming quarters, investors simply need to hedge inflation & threat of US dollar debasement (Bitcoin price all-time high of $75k would corroborate; gold heading well above $3000/oz).” Bank of America strategist Michael Hartnett also noted that inflation expectations have risen, leading to a decline in 10-year real yields, which is a significant driver of gold prices.
If Bitcoin were to hit $75,000, it would represent an uptick and return on investment (ROI) of approximately 9% from its current price. Similarly, gold hitting $3,000 in the XAU/USD charts could generate returns of close to 10% from its current price of $2,727. Both assets have delivered impressive returns this year, with precious metals rising 32.1% year-to-date and Bitcoin surging 63.47% YTD.
Overall, Bank of America predicts that Bitcoin and gold could rally further in the coming months, making them attractive investment options for those looking to hedge against inflation and the threat of US dollar debasement. With the potential for significant gains on the horizon, investors will be closely monitoring the performance of these two assets in the weeks and months to come.