Bitcoin price is expected to rise to $200,000 as analysts cite pro-cryptocurrency policies, government-led demand, and the increasing adoption by institutions shaping the future of the market.
As analysts reaffirm the $200,000 level, the pressure is increasing on those shorting Bitcoin.
Top research and brokerage firm Bernstein reiterated in a note to clients on Monday that bitcoin could reach $200,000 by 2025, maintaining its previous forecast. The firm noted that changing political, regulatory, and market conditions remain favorable for the company's long-term outlook. Bernstein analysts, led by Gautam Chhugani, noted:
We are entering a phase where we expect curiosity to turn into pain for the bitcoin pessimists.
With bitcoin trading near $92,000, Bernstein's $200,000 forecast for June now seems more plausible. Chhugani stated: 'The price of bitcoin reaching $100,000 seems imminent and our target of $200,000 for bitcoin [by the end of] 2025 is no longer an illusion.'
The report highlights the role of the political context, particularly under the administration of elected President Donald Trump, in fostering a pro-crypto environment. Key appointments, including the Chairman of the U.S. Securities and Exchange Commission (SEC) and the Secretary of the Treasury, are expected to bolster market sentiment. Analysts share: 'We expect the SEC Chairman and Secretary of Treasury positions to be filled by a pro-crypto candidate and the market will remain positive, regardless of specific appointments.'
SEC Chairman Gary Gensler, who has been widely criticized for his 'regulation by enforcement' approach to cryptocurrency oversight, is expected to resign before the end of his term. President Donald Trump has pledged to remove Gensler on his first day in office.
Another driver is the push for a national bitcoin reserve fund. 'The demand for bitcoin in this cycle is being driven by institutions, companies, and retail,' the report states, but analysts see a shift: 'We believe the next bitcoin cycle will be government-led and the political seeds for a government-led market are being sown today.' Regulatory clarity and institutional acceptance are the next catalysts. The report details:
As regulatory catalysts take effect, we expect a renewed confidence in the bullish cryptocurrency market, not only reflected in higher bitcoin prices but also in the overall cryptocurrency market capitalization impacting the prices of ETH, SOL, and leading digital assets.
Emphasizing long-term opportunities, Chhugani stated: 'With most institutional investors reassessing their anti-cryptocurrency stance, we have a long journey of new structural allocations for this market. If you are long-term, we hope you will be on the right side of bitcoin's history.'
The recent surge of Bitcoin to a new all-time high has raised optimism among investors and analysts. This optimism is driven by the re-election of President Trump, whose pro-cryptocurrency stance could lead to favorable regulatory changes. Major financial institutions have increased their exposure to bitcoin, with spot bitcoin exchange-traded funds (ETFs) seeing significant inflows.
For example, Microstrategy's Executive Chairman Michael Saylor predicts BTC will reach $100,000 by the end of the year, planning to hold a celebration to mark this milestone, while Bitwise's Chief Information Officer, Matt Hougan, sees $500,000 as an important benchmark for market maturity.
