The crypto news content suggests that the correction period for Bitcoin (BTC) may be ending soon, with on-chain data indicating a possible rally to $100,000. Additionally, a report by CryptoRank predicts that Bitcoin could reach $145,000 to $249,000 in 2025 due to institutional capital flows and favorable regulatory conditions.
CryptoQuant's report supports the idea of a BTC price rally, attributing it to accommodative monetary policy in the US and historical cyclical patterns. It also suggests that demand for Bitcoin in 2025 could be boosted by the pro-crypto stance of the incoming US administration and the appointment of crypto-friendly regulators. The report mentions that potential executive orders by former President Trump could further drive the price of Bitcoin upward.
The report from CryptoQuant also indicates that projected interest rate cuts by the Federal Reserve could create a favorable environment for capital flow into risk assets like Bitcoin.
Matt Hougan, the chief investment officer of Bitwise Asset Management, believes that the trend of institutional BTC purchases is only beginning and predicts that hundreds of companies will add Bitcoin to their corporate treasuries in the next 12-18 months. This is expected to cause the BTC price to skyrocket. The report also reveals that 2025 could see $520 million in new capital flowing into Bitcoin.
The content also mentions the significant role of institutional investors in driving capital inflows into the Bitcoin market. It highlights the recent Bitcoin purchases by companies like MicroStrategy, Semler Scientific, LQwD Tech, and Matador. The increased institutional investments are measured using the realized market capitalization metric.
The report discusses the growing institutional adoption of Bitcoin and mentions that institutional BTC reserves and public company BTC holdings have seen significant growth in 2024. However, it also warns of a potential short-term decline in BTC prices amid a broader macroeconomic sell-off, which could lead to losses if forced selling accelerates.
Despite the current market turbulence, the report remains optimistic about Bitcoin's long-term trajectory, suggesting a price surge to over $200,000 by year-end. Other analysts and experts, such as Tom Lee from Fundstrat, also have positive outlooks for Bitcoin in 2025, with price targets ranging from $200,000 to $500,000.
Standard Chartered Bank's report anticipates that BTC prices could reach as high as $400,000, attributing this potential rise to the crypto policies of Trump's administration. The report advises waiting for a retracement before buying more Bitcoin in the short term.
Overall, the content discusses various factors and reports that suggest a bullish outlook for Bitcoin in the near and long term.
- Content Editor ( cryptopolitan.com )
- 2025-01-16
Market overview: Bitcoin pushing for $100K again; Is the correction over?