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Cryptocurrency News Articles
Market Expert Predicts A New Crypto Bull Run In 2025
Jan 15, 2025 at 12:30 pm
With Bitcoin approaching the significant $100,000 mark once again after a sharp correction over the past weeks and altcoin exchange-traded funds (ETFs) on the horizon
Market expert VirtualBacon has recently shared seven key predictions that could shape the cryptocurrency landscape in 2025. At the heart of these predictions is the assertion that Ethereum (ETH) may outshine Bitcoin (BTC) in terms of performance, even as Bitcoin continues to hold a dominant position in the market.
The expert believes that the current crypto bull run is only just beginning, as Bitcoin approaches the significant $100,000 mark once again following a sharp correction over the past weeks and with altcoin exchange-traded funds (ETFs) on the horizon.
Anticipating a longer, slower bull cycle extending potentially into the fourth quarter of 2025, the expert points to the Federal Reserve’s cautious approach to liquidity, which is expected to mitigate the risks of sudden market crashes.
The likelihood of a recession is projected to drop to 33%, signaling a period of relative stability. Bitcoin’s dominance is anticipated to rise, largely driven by institutional demand, with spot ETFs already holding approximately 5% of Bitcoin’s supply.
While altcoins may lag initially, VirtualBacon asserts that this “slower cycle” is seen as a “blessing,” providing ample time for growth and maturation within the market.
One of the most consequential factors influencing the crypto market in 2025 is anticipated massive liquidity injections. The US debt crisis is likely to compel the Federal Reserve to implement quantitative easing, thereby expanding its balance sheet and flooding markets with cash.
Additionally, a revaluation of gold—potentially adjusting from $42 per ounce to around $2,000—could create even more liquidity in the system. Such conditions typically lead to inflation, which is historically associated with rising asset prices, suggesting that cryptocurrencies may thrive in this environment.
However, despite these optimistic predictions, VirtualBacon casts doubt on the likelihood of the US Bitcoin Reserve Act passing in 2025. The proposal for the US Treasury to acquire one million Bitcoin over five years faces significant hurdles, particularly in securing taxpayer support for such a massive expenditure.
On the regulatory front, the expert anticipates that pro-crypto legislation may favor altcoins, particularly through the proposed Fit for the 21st Century Act.
This legislation could provide a clearer regulatory framework for cryptocurrencies, designating decentralized tokens like Layer-1 blockchains as commodities under the Commodity Futures Trading Commission (CFTC), while less decentralized assets would fall under the Securities and Exchange Commission (SEC).
With Paul Atkins, a pro-crypto advocate, potentially leading the SEC, major cryptocurrencies may flourish, although smaller startups could face challenges navigating the new landscape, according to the expert.
The prediction of altcoin ETFs gaining traction is another exciting prospect for 2025. VirtualBacon expects ETFs for cryptocurrencies such as Litecoin, HBAR, XRP, and Solana to emerge, driven by their unique statuses and pending legal resolutions.
As Ethereum ETFs already draw institutional interest, a similar pattern could unfold for these altcoins, further accelerating institutional adoption in the crypto market.
Perhaps the most captivating prediction is that Ethereum could outperform Bitcoin, potentially doubling Bitcoin’s returns in 2025.
With institutional investors showing a preference for ETH over BTC in recent months, along with historical performance trends favoring Ethereum in the first half of the year, the stage is set for significant growth in the Ethereum ecosystem.
VirtualBacon estimates end-of-year prices of approximately $200,000 for Bitcoin and $14,000 for Ethereum, presenting ambitious yet “potentially attainable targets” given the expected influx of liquidity and institutional support.
As of this writing, BTC is trading at $95,840, recording gains of over 4% in the 24-hour time frame. Similarly, ETH is trading at $3,200, recording even higher gains of nearly 6% in the same time frame.
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