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Bitcoin To $131,000? Thomas Young And The “118 Multiplier” 2024 Forecast

Last Updated February 9, 2024 1:18 PM
Andrew Kamsky
Last Updated February 9, 2024 1:18 PM

Key Takeaways

  • Thomas Young’s analysis predicts a significant Bitcoin will rise to $131,000, driven by ETF inflows and the 118 Multiplier concept.
  • The 118 Multiplier suggests $93 million worth of inflows can increase Bitcoin’s price by 1%.
  • Young emphasizes the dynamic nature of the multiplier, which accounts for variables like capital inflow velocity and Bitcoin supply.
  • Despite Bitcoin’s halving and macroeconomic changes, Young’s forecast reflects a cautious yet optimistic outlook for Bitcoin’s future.

Thomas Young, the managing partner at RUMJog Enterprises, recently made an optimistic forecast for Bitcoin’s trajectory towards the year’s end, rooted in the analytical understanding of potential Exchange-Traded Fund (ETF) inflows and the intriguing ‘118 multiplier’ concept. Which highlights that a net inflow into Bitcoin of $93million may

result in a 1% price rise, while the comparison for gold is more than 20 times higher. This was highlighted in a BoFA study 

RUMJog Enterprises is a technology, media, and public sector management consulting company launched in 2013.

Bitcoin ETFs: A Catalyst For BTC Price Growth

The introduction of these ETFs, following SEC’s  approval, marked a pivotal moment, with notable shifts in the investment landscape, as evidenced by Grayscale’s GBTC experiencing a net outflow, contrasted by significant inflows into iShares and Fidelity. If analysts use the conservative Bank of America multiplier for BTC of 118x, which means the market cap of BTC tends to increase by $118 for every $1 invested.

The 118 Multiplier and a $131,000 Bitcoin Price Target

The 118 Multiplier is central to Young’s analysis. This metric, initially suggested by the Bank of America, highlights the capital needed to sway Bitcoin’s price by 1%. Bank of America says the multiplier for BTC is 118x, which means the market cap of BTC tends to increase by $118 for every $1 invested. It was estimated that Bitcoin needs between $92 and $93 million in investment inflows to achieve a 1% price increase. 

BoFA Global Research
BoFA Global Research

Young projects a significant monthly upward price movement, culminating in Bitcoin reaching at least $131,000 by the end of the year. This projection uses a detailed analysis of ETF inflows and their potential to move new capital into the market.

Thomas Young Explaining The 118 Multiplier
Thomas Young Explaining The 188 Multiplier

Navigating Future Issues

Young’s analysis presents a case for Bitcoin’s bullish run, based on a range of factors, from the upcoming Bitcoin halving to macroeconomic shifts like Federal Reserve rate cuts. However, these elements introduce more complexity to the already intricate landscape of digital asset markets.

Young notes a significant increase in Bitcoin ETFs, with a daily addition of 4,193 BTC. This equates to $176 million in fresh capital. To refine his predictions, Young recalibrates this to $150 million daily, spread over the usual 20 to 23 trading days per month. Young also opts for a conservative 50x multiplier, rather than the initial 118x or 100x. This strategy estimates a monthly price rise of $8,000 per BTC, leading to a projected year-end price of at least $131,000 for Bitcoin.

Thomas Young BTC Price Prediction
Thomas Young BTC Price Prediction

In conclusion, Thomas Young’s analysis not only highlights the role of ETF inflows in shaping Bitcoin’s future but also emphasizes the importance of adopting a new and dynamic approach to understanding digital asset markets. 

The future is indeed unknown, yet the tide of evidence compels the investor not to miss the boat. As investor Warren Buffett said: “Be fearful when others are greedy, and greedy when others are fearful.” 


​​The information provided herein is for educational and informational purposes only and should not be construed as financial advice, investment recommendation, or an offer or solicitation to buy or sell any securities. Cryptocurrency investments are volatile and high risk in nature, do not invest more than you can afford to lose. 

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