Bitcoin has received a significant boost in the past year, starting with the launch of exchange-traded funds (ETFs) trading spot Bitcoin, which began trading in January, and the halving in April, which limited the supply of t

Bitcoin received a boost last year from the launch of spot Bitcoin exchange-traded funds (ETFs) in January and a halving in April that limited supply of the world's most popular cryptocurrency.

Institutional investors made Bitcoin a more mainstream asset and prices climbed to new highs, including $100,000 in early December following Donald Trump's victory in the US presidential election on Nov 5.

The crypto-friendly billionaire is expected to consider campaign pledges to make the US the "crypto capital of the planet" and creating a Bitcoin strategic reserve.

Trump's second term, unlike his first, will have a Republican majority in the Senate and House of Representatives, said Nirun Fuwattananukul, chief executive of Gulf Binance, the Thai joint venture between the world's leading crypto exchange and SET-listed Gulf Energy Development.

"This means he can drive his campaign policy very effectively. His campaign advisors, especially Elon Musk and Robert F. Kennedy Jr, are also very pro-Bitcoin, so I think these pledged policies will be implemented," he said.

As of Dec 23, Bitcoin ETFs posted net inflows of more than $36 billion for 2024, according to data from Farside Investors.

Crypto asset manager Bitwise projects inflows for spot Bitcoin ETFs in 2025 will remain similar to levels last year.

After reaching new highs, short-term pullback at resistance levels was unavoidable, with prices leaving many traders questioning whether now is the right time to buy or waiting for further consolidation, according to Gulf Binance.

Bitcoin trades at roughly $98,000, with the total market cap of cryptocurrency estimated at $3.26 trillion.

Locally, former premier Thaksin Shinawatra embraced Bitcoin's increasing awareness globally and proposed a Bitcoin sandbox for tourism to allow the cryptocurrency to be used for payments in Phuket.

According to Chinese cryptocurrency reporter and blogger Colin Wu, Thaksin told friends he believes the price of Bitcoin will soar to $850,000 in the near future.

Bitwise predicts Bitcoin rising above $200,000 for the first time in 2025, increasing to $500,000 if the US government adopts Republican Senator Cynthia Lummis's plan of buying 1 million Bitcoin for a strategic Bitcoin reserve.

"We will likely see the US building and growing the industry again after many companies moved offshore the last few years," said Mr Nirun.

"With more capital invested and supportive regulation, I believe crypto will grow massively in the near future."

A secondary impact is likely if the US is supportive of crypto, with every major country expected to follow suit to ensure competitiveness, he said.