Galaxy Predicts No Bitcoin Purchase by US in 2025 Despite Nation-State Adoption
2024-12-30 09:34:18

From beincrypto by Oluwapelumi Adejumo

Galaxy Research has unveiled its predictions for the cryptocurrency market in 2025. The report highlights key trends, including Bitcoin’s potential to reach a new all-time high and the continued expansion of the stablecoin market.

Other industry insights also point to a dynamic year ahead, with nation-state Bitcoin adoption and Tether’s dominance in the stablecoin sector expected to fall.

Bitcoin and Ethereum to Reach New Heights

Galaxy Research forecasts that Bitcoin will reach new all-time highs in 2025. The firm expects the leading cryptocurrency to surpass $150,000 in the year’s first half and climb to $185,000 by the fourth quarter.

This surge will be fueled by growing adoption among major corporations and nations. The report predicts that five Nasdaq 100 companies and five countries will add Bitcoin to their balance sheets, driven by strategic diversification and trade settlement needs.

“Competition among nation states, particularly unaligned nations, those with large sovereign wealth funds, or even those adversarial to the United States, will drive the adoption of strategies to mine or otherwise acquire Bitcoin,” Galaxy Research stated.

Bitcoin is also expected to gain further traction in investment markets. US-based spot Bitcoin ETFs could collectively manage over $250 billion in assets, reinforcing BTC’s role as a leading alternative asset. By 2025, its market cap may rival 20% of gold’s valuation, solidifying its position as a top-performing investment.

Bitcoin vs Gold Market Cap. Source: Galaxy Digital

Ethereum, the second-largest cryptocurrency, is also poised for substantial growth. The report estimates Ethereum could trade at $5,500 in 2025, with DeFi and staking acting as key growth drivers. Regulatory improvements are likely to create favorable conditions, pushing Ethereum’s staking participation above 50% and boosting its network activity.

Disclaimer: This specification is preliminary and is subject to change at any time without notice. Web3 COMM assumes no responsibility for any errors contained herein.