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Crypto market capitalization could surpass $9.6 trillion if BTC reaches $200,000, a report says.
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Meanwhile, Ether (ETH) could climb as high as $12,000.
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Cardano, Avalanche and Terra are also investments worth watching, noted FSInsight’s head of crypto strategy.
Recent price action for Bitcoin showed a strong rebound above several resistance levels, with intraday gains on Monday pushing the leading cryptocurrency above $44,000.
Analysts are optimistic about the chances for further upside and point to the potential for continued correlation with equities.
FSInsight, part of Fundstrat, predicts that Bitcoin could reach $200,000 in 2022, citing an increased flow from traditional markets into cryptocurrencies.
In a report titled “Digital Assets in a Post-Cycle World,” FSInsight’s head of digital assets strategy, Sean Farrell, noted that Bitcoin could experience heightened volatility in the first half of 2022.
Research and investment firms see upside for BTC toward the $200,000 mark.
Metrics likely to support this outlook include heightened buying following the recent Bitcoin pullback. Negative real yields and a potential return of risk appetite in the markets are also expected to play a role, the investment strategist added.
Regarding Ether, FSInsight says its 30%+ rally over roughly the past week has brought the token close to a key resistance area. The firm believes ETH remains undervalued and that the transition to proof-of-stake could be one catalyst to trigger a major move toward $12,000 this year.
Beyond those two market leaders, native layer-1 tokens such as Avalanche (AVAX), Solana (SOL), Terra (LUNA) and Cardano (ADA) are likely candidates for renewed appreciation in the second half of the year.
Non-fungible tokens (NFTs) and Web3 applications are also on the platform’s radar. Investors may want to watch projects like Livepeer, Filecoin and The Graph as potential opportunities in the evolving ecosystem.