Asset Manager VanEck predicted a significant rise in the cryptocurrency market, anticipating record highs by the end of 2025. This forecast outlines expectations for Bitcoin BTC/USD to reach approximately $180,000 and Ethereum ETH/USD exceed $6,000.
What happened: According to Matthew Sigelhead of digital assets research at VanEck, the firm projects a 30% retracement in Bitcoin prices ahead of these highs, with altcoins potentially seeing steeper declines of up to 60% during the market consolidation this summer.
VanEck also predicts that the United States will adopt a Bitcoin strategic reserve in 2025, with regulators approving more crypto exchange-traded funds (ETFs), boosting institutional adoption.
This includes new SEC leadership approving multiple spot crypto ETPs, Ethereum ETPs featuring staking, and Ethereum and Bitcoin ETPs allowing in-kind transactions and redemptions.
See also: Where Bitcoin Comes Next: $105,000 or $85,000? Survey reveals that more than 60% say…
Why it matters: The cryptocurrency market has been the focus of analysts and investors, with predictions of significant growth by 2025. Recent analysis highlighted Bitcoin’s potential to reach a low of $175,000, despite fluctuations in the walk. This fits with VanEck’s optimistic outlook.
However, the path to these heights might not be easy. Analyst Michael van de Poppe warned of possible flash crashes, suggesting strategic entry points for investors during these dips. This sentiment was echoed in another report indicating that Bitcoin and Ethereum are approaching critical buying levels.
Additionally, the role of Bitcoin in global economic strategies is evolving. At a recent conference, Anthony Pompliano highlighted Bitcoin’s potential as a sovereignty strategy, highlighting its use as a hedge against sanctions and its growing influence on national financial resilience.
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