Bitcoin Poised for $200K by 2025, Says Bitfinex, as Institutional Pressure Builds

Bitfinex analysts project Bitcoin could reach $145,000 by mid-2025, with a best-case scenario pushing its price to $200,000 due to growing institutional adoption. Spot Bitcoin ETFs have attracted $36 billion in institutional investments, bolstering Bitcoin’s bullish outlook and 2025 all-time high predictions. After crossing $108,200 yesterday, Bitcoin is gaining significant traction, with analysts at Bitfinex [...]

Dec 18, 2024 - 11:06
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Bitcoin Poised for $200K by 2025, Says Bitfinex, as Institutional Pressure Builds
  • Bitfinex analysts project Bitcoin could reach $145,000 by mid-2025, with a best-case scenario pushing its price to $200,000 due to growing institutional adoption.
  • Spot Bitcoin ETFs have attracted $36 billion in institutional investments, bolstering Bitcoin’s bullish outlook and 2025 all-time high predictions.

After crossing $108,200 yesterday, Bitcoin is gaining significant traction, with analysts at Bitfinex forecasting a further price surge driven by institutional adoption. A recent market report from Dec. 17 highlights projections of Bitcoin reaching $145,000 by mid-2025, with a best-case scenario pushing its price to $200,000 under favorable conditions.

The analysts anticipate minor price corrections in 2025, bolstered by consistent institutional inflows. Despite expectations of volatility in the first quarter of 2025, they foresee a steady upward trend. This growth is attributed to the influence of spot Bitcoin exchange-traded funds (ETFs) and a rise in institutional participation globally.

$36 Billion Flows into Bitcoin ETFs

Bitcoin ETFs play a pivotal role in driving institutional demand. Since January, $36 billion has flowed into U.S.-based spot Bitcoin ETFs, as reported by Farside Investors. These ETFs collectively hold over 1.13 million BTC, making them one of the largest BTC-holding groups.

The Bitfinex report labels the ongoing bull market as evidence of robust institutional interest, particularly through ETFs and spot accumulation. Historical trends indicate the current market cycle is mid-way, aligning with the April 2024 Bitcoin halving. Analysts suggest the market may peak around the third or fourth quarter of 2025, roughly 450 days after the halving event.

This aligns with other industry predictions, such as Bitwise’s forecast, which also anticipates Bitcoin setting new all-time highs in 2025. The broader consensus expects BTC’s price to surpass $200,000 during this period.

Bitcoin Hits $108K — $900K Predictions Emerge

Currently trading above $104,000, the cryptocurrency marked a fresh all-time high of $108,268 on December 17. Nic Carter of Castle Island Ventures envisions Bitcoin eventually matching gold’s market cap, implying a price of $900,000. Speaking on Dec. 17, Carter expressed confidence in BTC’s long-term growth.

Similarly, Bitcoin author Andy Edstrom remarked on Dec. 16 about the rapid price movements, stating:

Struggling to get used to the fact that $1,000 is less than a 1% move in Bitcoin’s price.

Meanwhile, Bitfinex analysts highlighted the potential for BTC to climb to $339,000 if it mirrors its 2021 performance, which saw a 40% increase above moving averages. However, in a less optimistic scenario resembling the extended 2017 cycle, diminishing returns could cap the price at $290,000 by early 2026.

Additionally, Investor sentiment has further improved with MicroStrategy’s anticipated addition to the Nasdaq-100. This development could attract more institutional interest in Bitcoin. Speculation is also growing around a strategic BTC reserve in the United States. On Dec. 17, crypto analyst Tyler Durden suggested that any nation adopting a BTC strategic reserve could upend the traditional four-year market cycles.

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