Bitwise predicts Bitcoin will reach $200,000 by the end of 2025 and expects more countries to adopt it as a reserve asset.
Ethereum and Solana are forecasted to see significant growth.
Crypto asset management firm Bitwise has laid out ambitious forecasts for the industry in five years’ time. According to Bitwise, large cryptocurrencies will experience significant growth in 2025. BTC is predicted to hit $200,000 before the end of the year and could displace gold with an $18 trillion market cap by 2029.
The forecast also provides for $500,000 per Bitcoin if the US adopts Senator Cynthia Lummis’ strategy of establishing a strategic Bitcoin reserve that plans to buy more than one million Bitcoin within five years.
Ether (ETH) is also expected to recover to $7,000 due to the rise in Ethereum layer 2 solutions, higher inflows into the spot Ether ETFs, and the rapid expansion of stablecoins and tokenized projects. Solana (SOL) is expected to see a 250% price rise with a target of $750 due to the introduction of significant projects on its network.
According to Bitwise, Coinbase may become the most valuable brokerage platform, with shares possibly rising to $700. This growth is expected to take Coinbase to the S&P 500, outperforming companies such as Charles Schwab. Key drivers of this projection include revenue sources from stablecoins, staking, custody services, and Base.
Five Crypto Unicorns Poised for IPOs
Similarly, MicroStrategy is expected to be included in the Nasdaq-100 index. According to Bitwise, more investment from fund managers will be needed to include Coinbase and MicroStrategy in these major indices, which will certainly propel the share prices of these companies even further.
According to the report, at least five leading crypto companies are planning their IPOs for next year. These are Circle, a stablecoin issuer, Kraken, a crypto exchange, Anchorage Digital, a crypto bank, Chainalysis, an analytics firm, and Figure, a crypto exchange.
According to Matt Hougan the investment head at Bitwise and Ryan Rasmussen the research lead, the “Year of the Crypto IPO” is 2025. This prediction is based on the rising investor interest, growing institutional interest, positive macroeconomic factors, and better political conditions. The impending IPOs of Circle and Kraken are evidence that the cryptocurrency market has developed.
Surge in Bitcoin ETFs and Asset Tokenization
The report also points to a sharp rise in inflows into Bitcoin ETFs, which have already reached $33.6 billion this year, almost twofold more than earlier anticipated. Bitwise expects that this trend will only continue in 2025 when institutional investors buy more Bitcoins and Morgan Stanley and Bank of America offer their clients Bitcoin ETFs.
Also, the market of tokenization of real assets is expected to expand from $13 billion to $50 billion by 2025. Some of the advantages include real-time settlement, round-the-clock liquidity, and cheaper than the conventional securitization procedures.
Bitwise also expects an “even bigger memecoin mania” in 2025 that will be driven by artificial intelligence agents. The application of AI in the advertising and management of memecoins is expected to create massive market shifts. The stablecoin market might grow up to $400 billion.
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