Bitcoin is the oldest and largest cryptocurrency in the world, expected to reach $200,000 by the end of next year. These forecasts from Bernstein Research exceed last year's target price of $150,000.
Investment and research firm Bernstein Research has released a Bitcoin price prediction of up to $200,000 by 2025. Several factors, including the U.S. elections, institutional demand and adoption, and potential regulatory changes, will drive Bitcoin prices to these new targets.
Donald Trump winning the presidential election on November 5 has sparked speculation that the chairman of the SEC and the Treasury Secretary will be figures who support cryptocurrencies.
Cantor Fitzgerald CEO Howard Lutnick and Key Square Group founder Scott Bessent may replace Janet Yellen as cash managers.
As several large companies acquire Bitcoin or any cryptocurrency-related products, such as exchange-traded funds (ETFs), institutional demand will also increase the likelihood of a Bitcoin surge next year. The latest is Goldman Sachs increasing their exposure to the BlackRock Bitcoin ETF iShares Bitcoin Trust ETF (IBIT) to $710 million.
U.S. Republican Senator Cynthia Lummis has also proposed the Bitcoin Bill and the Bitcoin Strategic Reserve Plan to promote Bitcoin as a financial reserve alongside gold.
Bitcoin Bullish Prediction: Will Reach $1 Million by 2033
Bernstein analysts predict that by 2033, Bitcoin ETFs will account for about 15% of the circulating supply of 'digital gold.' Bitcoin prices related to marginal production costs could mean a spike to over $500,000 by the end of 2029 and soar to $1 million by the end of 2033.
"We believe that a U.S. regulated ETF is a watershed moment for cryptocurrencies, bringing structural demand from traditional capital pools," said Bernstein analysts Gautam Chhugani and Mahika Sapra.
According to CoinMarketCap data, since its launch in mid-January this year, Bitcoin spot ETFs have attracted around $28 billion in inflows. Other countries have also followed suit, launching similar products in their respective nations.
