Bitcoin May Target $145,000 To $249,000 Under Trump Administration: Report
According to CryptoQuant’s latest weekly report Reportthe target price range for Bitcoin (BTC) in 2025 may be between $145,000 and $249,000. Report quoted rise Institutional capital inflows and favorable cryptocurrency regulation are key drivers of Bitcoin’s potential price appreciation.
Bitcoin will benefit from increased institutional flows
After plummeting to $89,256 earlier this week, Bitcoin is now struggling to regain the $100,000 price level. A recent report from CryptoQuant predicts that Bitcoin could peak at $249,000 this year on the back of a number of favorable factors, including the pro-cryptocurrency stance of Donald Trump’s administration in the United States.
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The report suggests that BTC will reach “at least” $145,000 in 2025, with the influx of new capital serving as the main catalyst for this bullish momentum. Based on historical analysis of capital inflows in previous market cycles, the report estimates that $520 billion in new capital may enter the Bitcoin market this year. It states:
Against the backdrop of a positive regulatory environment, loose monetary policy, and a cyclical pattern, it is reasonable to expect that capital will continue to flow into Bitcoin in 2025.
The chart below shows Bitcoin’s realized market capitalization since 2015. For those unfamiliar, Bitcoin’s realized market cap represents the cumulative dollar value of each BTC at the last point on the chain.
If the market follows historical patterns, $520 billion in new capital inflows into BTC could become a reality. This new capital infusion could push BTC prices to between $145,000 and $249,000, as the expansion of BTC’s realized capital has a disproportionate impact on the digital asset’s market value and price.
The report highlights that institutional investors, especially those holding 100 to 1,000 BTC, are the main contributors to market capital inflows. These addresses primarily represent institutional-grade custody services and exchange-traded funds (ETFs).
Notably, institutional participants increased their Bitcoin holdings by $127 billion in 2024, reflecting strong confidence in the cryptocurrency’s long-term potential. Additionally, the final year of Bitcoin’s four-year cycle is typically associated with significant price increases for the asset.
All eyes are on the Fed
Although many cryptocurrency analysts and market commentators still insist optimistic When looking ahead to Bitcoin’s prospects in 2025, some are expressing caution about the potential impact of the Federal Reserve’s (Fed) delay in cutting interest rates due to inflation concerns and low retail investor participation.
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For example, a recent report from 10x Research famous The Fed’s delay in cutting interest rates could dampen Bitcoin’s bullish momentum. farther, data There is a 97.3% chance that the Fed will keep interest rates unchanged at the Federal Open Market Committee meeting later this month, according to CME FedWatch.
That said, asset manager Sygnum Position Bitcoin could face a demand shock as more institutional investors embrace the emerging asset. As of press time, BTC is trading at $99,309, up 2.9% in the past 24 hours.
Featured images from Unsplash, charts from CryptoQuant and TradingView.com