VanEck expects the cryptocurrency bull market to reach a “mid-term high” in the first quarter of 2025 before surging to all-time highs by the end of the year, the asset manager said in a Dec. 13 blog post.
“At the peak of the cycle, we expect Bitcoin (BTC) to be valued at around $180,000 and Ethereum (ETH) above $6,000,” VanEck said in a blog post written by Matthew Sigel, head of digital asset research.
“Other famous projects such as Solana (SOL) and Sui (SUI) can exceed $500 and $10, respectively,” he said.
source: Van Eck
relevant: Bitcoin price to surge in 2025 due to ‘demand shock’ — Sygnum
Before these highs are reached, VanEck expects “BTC to retrace 30%, and altcoins to face steep declines of up to 60% as markets consolidate over the summer.”
Alternative cryptocurrencies, or “altcoins,” refer to digital assets other than Bitcoin (BTC).
VanEck said a sustained funding ratio above 10% on the BTC perpetual futures exchange signals “speculative overhang” and suggests the cryptocurrency market has reached a regional high.
Last July and September, VanEck’s Sigel said he expected BTC to reach up to $2.9 million per coin by 2050 and Ether (ETH) to rise up to $22,000 per token by 2030.
source: Van Eck
Market Drivers in 2025
Other analysts see events unfolding similarly. According to Ryan Lee, senior analyst at Bitget Research, the price of BTC could fall 30% before resuming its bull run.
“Historical data trends show that Bitcoin could still correct by as much as 30% before reaching its cyclical high,” the analyst told Cointelegraph on November 27.
This is partly because U.S. markets typically correct after a president takes office. President-elect Donald Trump will be inaugurated on January 20, 2025.
VanEck also predicted that the United States will adopt a Bitcoin strategic reserve in 2025 and that regulators will approve more cryptocurrency exchange-traded funds (ETFs), accelerating institutional adoption of cryptocurrencies.
“With new SEC leadership, several new spot cryptocurrency ETPs will be approved. Ethereum ETPs include staking, and both Ethereum and Bitcoin ETPs allow spot trading and redemption,” VanEck said.
On December 12, Sygnum Bank, an asset manager specializing in cryptocurrencies, said institutional adoption could trigger a “demand shock” next year, causing BTC spot prices to surge.
Meanwhile, BlackRock, the world’s largest asset manager, said a portfolio allocation of up to 2% is “reasonable” for investors looking to hold BTC.
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