- Bitwise has reiterated its bullish name for Bitcoin to achieve $200,000 by year-end.
- Bitwise mentioned a number of of its December 2024 predictions for 2025 stay on observe.
- The agency is much less sure concerning the outlook for Ethereum and Solana, each of which have underperformed this yr.
On the halfway level of 2025, digital asset supervisor Bitwise has reiterated its bullish name for Bitcoin to achieve $200,000 by year-end, citing surging institutional curiosity and a supportive regulatory backdrop.
Nonetheless, the agency is much less sure concerning the outlook for Ethereum and Solana, each of which have underperformed this yr.
In a be aware to shoppers printed Tuesday, Bitwise Chief Funding Officer Matt Hougan and Head of Analysis Ryan Rasmussen reviewed the agency’s 2025 forecasts, providing a combined evaluation of crypto market dynamics to this point this yr.
Bitcoin holds robust, ETH and SOL lag
“It’s been a mixed year for crypto asset prices,” Hougan and Rasmussen wrote.
“Bitcoin hit a new all-time high of $112,000 in May thanks to strong ETF flows, growing demand from bitcoin treasury companies, and the creation of a US strategic bitcoin reserve.”
Bitcoin’s positive aspects stand in distinction to the efficiency of Ethereum and Solana, that are each down year-to-date.
The agency attributes this divergence to broader macroeconomic dangers and uneven investor urge for food.
Nonetheless, Bitwise stays optimistic concerning the second half of the yr.
“We’re holding firm to our BTC $200k prediction, as there is simply too much institutional demand for BTC to keep prices flat for long,” Hougan mentioned.
He added that whereas the agency is “less confident on ETH and SOL,” developments resembling ETF approvals, rising curiosity in stablecoins, and the emergence of ETH and SOL treasury firms might present upside.
Bitwise’s crypto predictions for 2025
Bitwise mentioned a number of of its December 2024 predictions for 2025 stay on observe.
The agency’s forecast that Bitcoin ETF inflows would surpass final yr’s $35 billion remains to be in play, particularly with expanded entry to those merchandise by way of main wealth platforms.
Bitwise additionally famous that two of its regulatory forecasts have materialized: the US Division of Labor rescinded crypto restrictions on 401(ok) plans, and each Coinbase and Technique (previously MicroStrategy) secured positions within the S&P 500 and Nasdaq-100, respectively.
These strikes have introduced crypto publicity to a wider investor base by means of passive index-tracking funds.
In the meantime, Bitwise mentioned its prediction that not less than 5 crypto unicorns would go public within the US in 2025 is now virtually assured, with companies like Circle, Webull, and eToro main the cost in what has turn into a faster-than-expected IPO increase.
Not all bets are panning out. Bitwise acknowledged that the anticipated meme coin surge — led by AI-generated tokens — has not materialised.
The memecoin mania died down in Q1, Hougan mentioned, pointing to the fast collapse of politically themed tokens like TRUMP and MELANIA, in addition to LIBRA, a coin linked to Argentina’s President Javier Milei.
Moreover, Bitwise’s forecast that Coinbase would surpass Charles Schwab in market capitalization and attain a share value of $700 is now seen as more and more unlikely inside the 2025 timeframe.
Its prediction that the variety of international locations holding Bitcoin in reserves would double — from 9 to 18 — additionally seems formidable, although the agency famous that current disclosures by the United Arab Emirates and Pakistan have moved the needle.
