Bitcoin rallied again this week and came close to 100K on Friday.
Bitcoin spot ETFs received $2.84 billion till Thursday, when ETF options trading began.
With good legislative reforms in the US, Standard Chartered's analyst anticipates Bitcoin to reach $125K by year's end.
Bitcoin (BTC) rose over 9% this week to $99,419, inches from $100K. Rising Bitcoin spot Exchange Traded Funds (ETF) inflow of over $2.8 billion till Thursday maintained this positive trend. The Bitcoin ETF options launched by BlackRock and Grayscale also drove the spike this week.
The Global Head of Digital Assets Research at Standard Chartered told FXStreet that Bitcoin will reach $125K this year and $200K in 2025.
By year-end, Standard Chartered expects Bitcoin to hit $125K.
Just over 0.5% from $100K, bitcoin touched $99,419 on Friday. Bitcoin is now the seventh-largest asset in the world with a market valuation of $1.94 trillion, according to CoinMarketCap. This widespread acceptability draws new Bitcoin investors, even first-timers.
FXStreet said that Standard Chartered Global Head of Digital Assets Research Geoff Kendrick predicts Bitcoin to reach $125K this year and $200K by 2025.
Donald Trump winning the White House and the Republicans obtaining a clean sweep have been the primary topic in recent weeks. He stated there should be many favorable regulatory adjustments soon after Trump takes office on January 20.
Kendrick predicted a downturn before the year closes, but recent ETF inflows should support it. “When something goes up 30%, you can have pullbacks because markets can get ahead of themselves (...) ETFs purchase on dips, so that should buffer sell-offs.”
Bitcoin institutional demand rises
Bitcoin's price has been bolstered this week by institutional demand. Coinglass statistics showed $2.84 billion in Bitcoin spot ETF inflows through Thursday, up from $1.78 billion the week before. This influx pattern might boost the Bitcoin price surge if it continues.
Whale buildup fuels the rally. On Thursday, whale wallets collected 2,895 BTC worth $282.5 million in 9 wallets, while other whales accumulated 3,289 BTC worth $302 million from Binance.
Data Nerd indicates another whale bought 1,109 BTC worth $104.39 million from Binance and Coinbase on Wednesday and now has 2,219 BTC worth $212.41 million, indicating high Bitcoin demand.
QCP's Thursday report shows strong demand for March and June call options, indicating long-term optimistic sentiment driven by Bitcoin's corporate adoption and crypto market capital inflows.
In the study, MicroStrategy is anticipated to raise $2.6 billion to buy additional Bitcoin, exceeding a $100 billion market valuation and overtaking US trading volume. Several corporate treasuries are adding Bitcoin to their reserves, like Acurx Pharmaceuticals, which bought up to $1 million.
QCP's expert predicts robust BTC demand and more monetary policy easing by global central banks will boost BTC prices through the year.
Bitcoin futures market fuels rally
The Bitcoin futures market helped it surge this week. Professional bitcoin derivatives site Deribit reveals three of seven BTC futures contracts traded above $100,000. March 28, 2025 contracts trade at $103,772, about 5% above the average market price of $98,800. Investors expect the spot price to stay over $100,000 through March and beyond.
The Bitcoin ETF options debut this week boosts the surge together with the futures market. Grayscale debuted its Bitcoin ETF options on Wednesday after BlackRock launched its BTC spot ETF options (IBIT) on Tuesday. This market reaction may attract additional investors and allow varied trading techniques, reducing volatility and downside risk and strengthening Bitcoin's mainstream status. Digital assets company QCP Capital expects options to list shortly for other BTC spot ETFs including the Fidelity Wise Origin Bitcoin Fund (FBTC).
How high can Bitcoin go?
Bitcoin's weekly chart reveals that the largest crypto currency by market capitalization hit a record $99,419 on Friday and is now over $98,700. BTC might climb above $100,000, a psychological milestone, if it continues.
If bullish momentum persists, Bitcoin could enter a price discovery mode with Fibonacci extension levels of 161.8% and 200% (drawn from November 2021 high of $69,000 to November 2022 low of $15,476) projecting targets at $102,077 and $122,524.
However, the weekly chart's RSI momentum indicator is 77, indicating overbought circumstances and a growing likelihood of a drop. RSI's rise out of overbought area might signal a decline, therefore traders should be cautious when adding to long holdings.
