Crypto Industry Optimistic About Bitcoin Reaching $200,000 This Year

Adjustments to $80,000 Expected Depending on Inflation and Interest Rate Policies

Expectations for Regulatory Easing in Trump's Second Term and Increased Pension Fund Investments

Digital asset industry experts have expressed an optimistic outlook that Bitcoin, which surpassed $100,000 last year, could double to reach $200,000 this year. However, some experts anticipate several adjustments due to ongoing volatility from inflation, interest rate policies, and unexpected capital market shocks.

According to CNBC on the 1st (local time), cryptocurrency insiders expect Bitcoin prices to move between a minimum of $80,000 and $200,000 in 2025, reaching new highs. Industry insiders based these predictions on expectations of regulatory easing under Trump's second administration and increased institutional investments.

Trump has pledged to replace the current SEC Chairman, Gary Gensler, who has aggressively investigated cryptocurrency companies during his campaign. Gensler is expected to step down from the SEC this year.

CoinShares, a cryptocurrency-focused asset management firm, predicted that Bitcoin would move between $80,000 and $150,000 this year.

James Butterfill, head of research at CoinShares, predicted that "in the long term, Bitcoin will account for about 25% of the gold market share."

Butterfill stated that if Trump's promised crypto-friendly policies are delayed, Bitcoin could drop to the $80,000 level, but if the regulatory environment becomes favorable, it could reach $150,000.

CoinShares predicted that Bitcoin would reach $80,000 in 2024.

Galaxy Digital is more optimistic. Galaxy Digital expects Bitcoin to surpass $150,000 in the first half of this year and reach $185,000 in the fourth quarter.

Alex Sohn, head of research at Galaxy Digital, a cryptocurrency-focused asset management firm, mentioned that "the increasing adoption by institutions, corporations, and nations will elevate Bitcoin to a new level."

"Bitcoin has risen in value faster than any other asset class since its inception, and this trend will continue into 2025," he emphasized.

Galaxy predicts that the assets under management of U.S. spot Bitcoin ETFs will surpass $250 billion in 2025.

Standard Chartered expects Bitcoin to reach $200,000 by the end of this year, doubling from last year. The bank noted that the pace of institutional funds flowing into Bitcoin will surpass 2024.

Geoffrey Kendrick of the bank predicted that MicroStrategy, a leading Bitcoin investment firm, will purchase as much or more Bitcoin this year as in 2024.

He also mentioned that the Trump administration's regulatory revisions for traditional financial firms will allow pension funds to invest in Bitcoin through U.S. spot ETFs starting this year. Even small purchases by large funds like U.S. retirement funds could significantly increase Bitcoin prices.

Matrixport, a cryptocurrency financial services company, expects Bitcoin to reach $160,000 in 2025.

Markus Thielen, head of research at Matrixport, stated that "sustained demand for Bitcoin ETFs, macroeconomic trends, and an expanding global liquidity pool support this." However, Thielen warned that Bitcoin is highly volatile and could adjust between 70% and 80% of its all-time high.

A year ago, the company predicted that Bitcoin would reach $125,000 in 2024.

Yang Youwei, chief economist at Bit Mining, mentioned that Bitcoin prices could rise to between $180,000 and $190,000 this year, but also noted the possibility of price adjustments.

Yang warned that "Bitcoin is likely to experience significant upward momentum and occasional sharp adjustments in 2025." He cautioned that "in moments of market shocks like a stock market crash, Bitcoin could temporarily fall to around $80,000."

He predicted that Bitcoin would peak between $180,000 and $190,000 based on factors such as Trump's regulatory easing, interest rate cuts, and increased institutional investments.

Nevertheless, he anticipated several adjustments for Bitcoin due to U.S.-China tensions, global capital market turmoil, potential delays in Fed rate cuts, and unexpected proposals.

Carol Alexander, a finance professor at Sussex University, predicted that Bitcoin could reach $200,000. However, she expected it to trade within a range of $150,000 plus or minus $50,000 due to no signs of reduced volatility.

Alexander mentioned that U.S. regulatory easing would boost Bitcoin, but the lack of regulation on exchanges would lead to increased volatility due to high-leverage trading.

Last year, she accurately predicted in an interview with CNBC that Bitcoin would reach $100,000 in 2024.

Elitsa Taskova, Chief Product Officer (CPO) of the cryptocurrency lending platform Nexo, stated that Bitcoin could soar to as high as $250,000 by 2025. She predicted that in the long term, within ten years, the market capitalization of the entire cryptocurrency market would surpass that of gold.

Taskova mentioned that "the trend of recognizing Bitcoin as a reserve asset, the increase in Bitcoin and cryptocurrency-related exchange-traded products (ETPs), and increased institutional investments" would support Bitcoin's bullish trend.

She added that positive macroeconomic conditions, such as interest rate cuts by major central banks worldwide, are likely to boost Bitcoin prices. On the other hand, she warned that inflation could trigger a hawkish shift, which would be a negative factor for Bitcoin.

Guest reporter Kim Jung-ah kja@hankyung.com