Release: 2024/12/13 01:39 Reading: 350
Bitwise Predicts Crypto Market Surge in 2025 Amid Favorable Policies
Crypto asset manager Bitwise anticipates significant gains for Bitcoin, Ethereum, Solana, and other altcoins in 2025, driven by favorable crypto policies in the US and increased institutional adoption.
In its recent report, Bitwise forecasts that Bitcoin (BTC) and Ethereum (ETH) could reach new price records, surpassing $200,000 and $7,000, respectively. Ethereum competitor Solana (SOL) is also predicted to witness a surge to $750.
Influence of Spot Bitcoin ETF Inflows
Bitwise attributes Bitcoin's projected growth to an anticipated rise in inflows for spot Bitcoin exchange-traded funds (ETFs) in the US. This optimism stems from the expectation that President-elect Donald Trump will support favorable crypto policies during his presidency starting in January.
Government Adoption and Strategic Reserve
Bitwise suggests that the US Department of Labor may adopt a more receptive approach towards digital assets under Trump's leadership, enabling retirement plans like 401(k)s to invest in cryptocurrencies. Additionally, Trump's proposed strategic Bitcoin reserve, which is gaining traction among US politicians, could boost the number of countries holding Bitcoin from nine to 18 by 2025.
Rise of Stablecoins and Tokenized RWAs
Bitwise projects an increase in the market capitalization of stablecoins and tokenized real-world assets (RWAs). Stablecoins are anticipated to exceed $400 billion due to clearer US regulations and fintech integration. Tokenized RWAs are forecast to reach $50 billion as Wall Street firms participate in the sector.
Other Predictions
Bitwise further anticipates a meme coin supercycle in 2025 and a rise in Coinbase stock to $700 per share, potentially making it one of the most valuable brokerage firms and eligible for inclusion in the S&P 500 index. The asset manager also predicts that MicroStrategy will join the Nasdaq 100 index.
Crypto IPOs Expected
Bitwise forecasts several initial public offerings (IPOs) from crypto companies in the coming year, including Circle, Figure, Kraken, Chainalysis, and Anchorage Digital.
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