Bitcoin’s value could surge to $150,000 by the end of 2025, driven by increasing institutional adoption and U.S. President-elect Donald Trump’s favorable stance on cryptocurrencies, according to forex industry executives. Some analysts stress that Bitcoin must close above $100,000 for several months before this level becomes a reliable support zone. Recently, Bitcoin crossed the $100,000 threshold but slipped back below it, only to rebound after Trump announced his own cryptocurrency and plans for an executive order prioritizing crypto as a national focus.
Hedge Against Inflation Spurs Crypto Demand
Cryptocurrency is increasingly adopted by institutions and retail investors as a hedge against inflation and risks previously mitigated with gold. Trump’s presidency is a positive factor,” said Konstantinos Chrysikos, director of customer relations at Kudo Trade.
He predicted Bitcoin could consolidate between $110,000 and $120,000 before eventually reaching $150,000 by the end of 2025. “This is a conservative estimate. The cryptocurrency market often defies expectations with unprecedented developments,” Chrysikos added.
Momentum Hinges on Key Levels
Farah Mourad, senior market analyst at Equiti Group, highlighted Trump’s support and international transactions involving cryptos, especially between China and other nations, as key growth drivers. Although a correction in Bitcoin isn’t anticipated, if it occurs, the $72,000-$75,000 range could act as a support level. Sustained momentum depends on Bitcoin closing above $100,000 for several months,” Mourad explained. She emphasized diversification, recommending Ethereum and Ripple alongside Bitcoin.
Impact of Active Supply and Volatility
Wael Makarem, senior market strategist at Exness, attributed Bitcoin’s rise to a significant drop in active supply. “When active supply decreases quickly, the price movement becomes exponential. Bitcoin could easily hit $120,000 soon,” he said, noting a recent jump from $88,000 to $97,000 in a short period. However, Makarem warned against over-optimism, citing potential market chaos due to Trump’s tough stance on global counterparts like the EU and China.
Strengthening Dollar and Global Currency Dynamics
The U.S. dollar is also expected to strengthen under Trump’s presidency, set to begin on January 20, 2025.
Makarem stated, “Trump introduces market volatility, as evidenced by recent tariff-related headlines. Tariffs could support the dollar, but if tensions ease, investors may shift to other currencies like the euro.”
Farah Mourad echoed this sentiment, noting the greenback’s rise is partly due to weakening counterparts like the euro and pound, amid slowing growth in Europe and challenges in the UK. Meanwhile, the Federal Reserve’s potential rate cuts could further influence the dollar’s trajectory. Despite uncertainties, experts agree that Bitcoin and other cryptocurrencies stand to benefit from growing adoption and evolving economic conditions.
