Trader Eugene Ng Ah Sio released his outlook and expectations for Q1 2025 on X:
"Since Trump's election win two months ago, it feels like a long time ago, and now as we approach 2025, prices are significantly higher than they were not long ago. With the U.S. leading the way in establishing crypto-friendly policies and regulations, the industry is filled with hope for a new pro-crypto world."
"Considering the local peak we experienced in December, I believe the bull market will continue in a similar manner, with some assets performing exceptionally well while others lag behind."
"For the next quarter, I believe the biggest beneficiary will be ETH. There are three reasons for this:"
1. 10 IQ price fractal: BTC has risen 40% from its previous peak, while ETH is 30% below its previous peak. While this may not mean much, both assets have ETF products, and it's not hard for the public to believe that ETH is cheaper than BTC (thus having more room for upside);
2. Trump's pro-crypto government: This has always been most beneficial for utility/smart contract-related assets. We have already seen some DeFi assets (AAVE/UNI) perform well in anticipation of this, but the biggest beneficiary asset is undoubtedly ETH. Trump's WLF has not done anything on Solana, but has continually acquired Ethereum-based assets, and I believe this will only continue;
3. Base ecosystem development: Among all L2s on Ethereum, Base is the most prominent chain this year. With Coinbase's native distribution channels and the organic growth of AI agents led by Virtuals, the value proposition offered by Base is very similar to Solana and can undoubtedly be classified as a competitor. This creates natural demand for ETH as the base asset (since Base itself does not have its own token) and provides positive liquidity as ecosystem activity increases.
"I expect ETH to break $4000 as early as January next year and possibly reach an all-time high at some point in the first quarter."
"Additionally, I believe the three verticals that will continue to perform well are:"
1. AI agents;
2. Utility fee generating tokens;
3. Potential ETF cryptocurrencies.
"In terms of cycle peaks, I suspect that most of 2025 will be similar to 2023 or 2024, with some capital or repricing followed by a significant PvP reduction. Ultimately, one of these rebounds will become the global peak, but I believe we are not close to that high yet."

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