[ad_1]
2024 is almost over, and it has been a relatively good year for the ecosystem. But what awaits the crypto market in 2025?
This is a pressing question that investors may be facing. In this analysis, TinTucBitcoin discusses insights from reputable analysts about the year ahead. While some predict the bull market will continue to rise to the ceiling, others warn of caution. Below are each of the top forecasts and key signals from key indicators.
Analyst Expectations: Bitcoin Bull Run Will Continue, But First…
For Benjamin Cowen, crypto analyst and founder of IntoTheCryptoverse, Bitcoin (BTC), specifically, could start 2025 with a correction. Cowen thinks this is possible because in January, after previous years of bifurcation, Bitcoin showed similar behavior. He advised market participants to prepare themselves for a possible fall.
“In the past 2 cycles, BTC has had a correction in January of the year after the halving. It may be worthwhile to mentally prepare for this outcome. So it will be related to January 2025.” Cowen write on X.
However, this argument contradicts some opinions that Bitcoin price could increase to around $120,000 in the first month. Currently, BTC is trading at $97,970. This year, the cryptocurrency reached an all-time high of $108,268, representing a 112% increase year-to-date (YTD).
Ki Young Ju, CEO of analytics platform CryptoQuant, has suggested that the Bitcoin bull market could last until mid-2025. Young Ju made this comment in July, noting that BTC could attract capital new to extend the 2025 crypto bull market to that stage.
However, on October 1, Young Ju changed his stance. According to him, if Bitcoin price ends 2024 in full strength, this could create the foundation for a bear market in 2025.
“I expected a correction as BTC futures market indices heated up, but we are entering the price discovery phase, and the market is heating up further. If a correction and consolidation occurs, the bull run could be prolonged; However, a strong year-end rally could lay the groundwork for a bear market in 2025.” Young Ju speak.
Recently, Axel Adler shared his views on Bitcoin Price Temperature (BPT), which measures the distance between the current Bitcoin price and its 4-year moving average.
Typically, Bitcoin reaches its cycle peak when the BPT index is between 6 and 8. On December 7, Adler noted that the index reached 3.2. However, he said that if this index increases to 8, it could push Bitcoin price to $178,000.
“At a BPT level of 8, the price could reach 178K USD per BTC. In fact, this could be considered a target for 2025, which could be realized if current demand for the currency in the spot market continues.” Alder mentioned.
Altcoins Are Not Left Behind: Solana vs Ethereum Rivalry Will Continue
However, Bitcoin is only a part of the cryptocurrency market. Therefore, it is important to look at other assets and the possible macro view for cryptocurrencies in 2025. At the same time, it should be noted that apart from Bitcoin, only a few Altcoins from the 2021 bull market could reach new highs.
Still, there are some positive signs. For example, BNB and Solana (SOL) reached new highs, while XRP price showed strong performance this quarter. Some relatively new Altcoins, such as Sui (SUI), Mantra (OM), and Bitget Token (BGB), also achieved impressive performance.
However, this recognition would not be complete without mentioning meme Coin, which has a strong foothold in the market this cycle. For this reason, experts predict that meme Coins, AI Coins, and Real Asset Tokens (RWA) may continue to grow strongly in 2025.
Ethereum (ETH) has been a bit of a disappointment, however. As a result, digital asset management company 21Shares believes that Solana could continue to capture more of Ethereum’s market share by 2025.
In its report, 21Shares based this forecast on the low fees the Solana blockchain offers and the integration of stablecoin adoption PayPal USD (PYUSD). Furthermore, it is emphasized that this does not mean that SOL will topple ETH’s market capitalization.
“While we don’t expect a complete ‘overthrow’, Solana is poised to outperform and take more market share from Ethereum through improved UX and infrastructure.” Report stated.
Despite this, Ethereum’s Total Locked Value (TVL) is still higher than that of Solana. At this time, Solana’s TVL is 8.60 billion USD, while Ethereum’s is 70.10 billion USD.
If the prediction comes true, the TVL difference could narrow. Regarding the Solana ETF application, 21Shares noted that approval could come in the first three quarters, but could come as late as 2025 or early next year.
“Solana’s expanded role in traditional finance is expected to lay the foundation for traditional financial products such as Solana futures on CME or US-based Solana ETFs. While ETF approval is unlikely in 2025, the likelihood is expected to increase as we move towards year-end and into the first half of 2026.” 21Shares added.
The Trump Effect and the Reception Perspective
From a macro perspective, the asset manager expects that the approval of a Bitcoin ETF will further boost institutional adoption worldwide. This sentiment may be related to Donald Trump being elected president of the United States.
Throughout the campaign, Trump has consistently promised that his administration will provide clearer regulations for the cryptocurrency industry. His inauguration is scheduled for January 2025, and SEC Chairman Gary Gensler’s resignation could allow markets to experience more freedom.
Outside of the US, South Korea is considering lifting its ban on crypto ETFs. If achieved, this could push trading volumes to extremely high levels in the Asian region. Britain is not left behind, with speculation that the country could allow individual investors to access cryptocurrency exchange-traded notes (ETNs).
Based on the above, it seems that the cryptocurrency market in 2025 may bring more positive results than what happened this year. It is also possible that another country could adopt Bitcoin as a strategic reserve asset, following in the footsteps of El Salvador.
At the time of writing, the countries with the potential to achieve that are the United States and Argentina under the leadership of Javier Milei. If that happens, Bitcoin price is likely to reach new highs, and total market capitalization could explode above $5 trillion.
For Altcoins, this situation remains precarious. However, if a large amount of capital flows into these assets, they could also reach new highs. At the same time, investors may need to keep an eye out. If the market experiences a collapse of cryptocurrency platforms like 2025, this prediction may be invalidated, and the market may enter a bear phase.
General Bitcoin News
[ad_2]
