Bitcoin could hit a new record high of $200,000 in 2025. Shutterstock / BLKstudio
Bitcoin could skyrocket to more than $200,000 by the end of 2025, according to financial analysts.
The cryptocurrency market has entered the “Infinity Age” to become more mainstream, Bernstein Research analyst Gautam Chhugani said in a recent client note, according to a report by crypto news website The Block.
The Infinity Age is “a long period marked by relentless evolution and widespread acceptance, leading to a point where crypto is no longer controversial — just part of the financial system built for the new intelligent age”, Chhugani said.
He added: “Expect less of boom-bust patterns. Crypto is now firmly on the radar of corporations, banks and institutions, weaving itself into the very fabric of our financial systems.”
The world’s biggest digital token, with a market capitalisation of $1.84 trillion, smashed through the key psychological level of $100,000 for the first time in December, hitting a record high of $108,268.44.
Since then, Bitcoin has retreated and is currently trading at $91,240, driven by last week’s better-than-expected US economic data and fears the US Federal Reserve will stall its interest rate cuts this year.
Meanwhile, Presto Research is forecasting that Bitcoin will hit a high of $210,000 in 2025, driven by increasing institutional adoption and improving market fundamentals.
“2024 marked a turning point for cryptocurrency markets, with spot Bitcoin ETF listings and major policy shifts creating a foundation for institutional participation,” said Peter Chung, head of research at Singapore-based Presto Research.
“Our analysis suggests 2025 will see this institutional momentum accelerate significantly.”
Presto is also forecasting that that Bitcoin will become a store of value at both sovereign and corporate levels and the US will solidify its position as a global crypto hub thanks to the incoming Bitcoin-friendly President-elect Donald Trump, who takes office on January 20.
There will be broader industry consolidation this year, which has been boosted by key moments in 2024 that include the US Securities and Exchange Commission’s approval of Bitcoin and Ethereum exchange-traded funds, giving mainstream investors an accessible and regulated option to invest in cryptocurrencies.
“As corporate treasuries and Bitcoin ETFs become a larger part of Bitcoin ownership, we expect Bitcoin ownership to get more sticky,” Chhugani said.
