Bitcoin’s expected rally is driven by rising institutional interest, Bitcoin ETFs, and Trump’s crypto-friendly policies, which are expected to bolster sentiment and boost demand.
After a recent Bernstein analysis predicted a big move for Bitcoin following the US election, as reported by CNF, Bernstein analysts have now doubled down on their ambitious prediction that Bitcoin will hit $200,000 by the end of 2025.
Led by Gautam Chhugani, the team attributes its confidence to Bitcoin’s surge to close to $100,000 and highlights the cryptocurrency’s potential for exponential growth.
First proposed in June 2024, the forecast gained momentum following the US presidential election and Trump’s victory, signaling a favorable environment for cryptocurrencies .
The report identifies three critical factors for Bitcoin’s projected rise: pro-crypto regulatory policies under the Trump administration, plans for a US national Bitcoin reserve, and rising institutional demand, as highlighted below.
Regulatory promises in favor of cryptocurrencies
The Donald Trump administration has promised to implement crypto- friendly policies such as limiting the SEC’s enforcement powers, empowering the CFTC, and positioning the United States as a global cryptocurrency hub. These measures are expected to bolster investor confidence and attract significant market activity.
United States National Bitcoin Reserve
Trump’s proposal for a national Bitcoin reserve, backed by legislative initiatives such as the Bitcoin Act of 2024 , aims for the United States to acquire 5% of the Bitcoin supply within five years. This move would mark a fundamental shift toward sovereign adoption of Bitcoin, driving demand.
Growing institutional demand
The growing institutional interest is evident through MicroStrategy’s Bitcoin acquisitions, the growth of Bitcoin ETFs, and the continued accumulation of the asset by miners. These trends reduce selling pressure and maintain the bullish momentum of the Bitcoin price.
Staying on a positive note, it is also important to reflect on CNF’s previous update , highlighting that Bernstein analysts have raised their Bitcoin price prediction from $150,000 to $200,000 by the end of 2025. This revision was driven by increased demand through ETFs and reduced supply due to the Bitcoin halving.
At the time of writing, Bitcoin (BTC) is currently trading at $91,634.54 , having gained 1.80% over the past day and 5.20% over the past week. See the BTC price chart below.
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