Sid Powell, co-founder and CEO of decentralized finance platform Maple Finance, predicts that Bitcoin could reach a price level between $180,000 and $200,000 by the end of 2025.
In an interview with CNBC’s Squawk Box Europe, Powell discussed the factors driving Bitcoin’s potential rally, specifically commenting on institutional adoption and the expected impact of Bitcoin ETFs.
Powell emphasized that the launch of Bitcoin ETFs is similar to the launch of gold ETFs. He noted that gold ETFs have seen significant inflows in the early years and that this can also be observed in Bitcoin ETFs. The CEO said, “In the past, gold ETFs have seen significant inflows after the first year. I think we will see a similar increase in Bitcoin ETFs.” He believes that as Bitcoin becomes an important asset for institutional investors, these inflows will increase over time and the price will rise sustainably.
Another notable prediction by Powell is the possibility of establishing a Bitcoin strategic reserve in the United States. This development, while speculative, could create a significant impetus for institutional interest and adoption, and increase Bitcoin’s price stability.
However, Powell also drew attention to Bitcoin’s cyclical nature. Powell said, “The crypto sector remains cyclical,” and reminded that Bitcoin has undergone major corrections in the past after sharp increases. For example, in 2021, Bitcoin rose to $70,000 due to intense interest in cryptocurrencies, but fell below $17,000 in 2022 due to major bankruptcies in the sector.
Still, Powell sees past big declines of 70%-80% as less likely in 2025 because of the balancing effect of institutional investment.