🔮 10 Crypto Predictions for 2025

In this Bitcoin cycle 4, we witnessed many important events, such as the first ATH before the halving, support from the 'Crypto Presidency,' and backing from many countries. Does this differentiate this cycle from the previous ones?

Here’s what we got for you today:

• 🔮 The Year Ahead: 10 Crypto Predictions for 2025

• 📈 The Past 3 Crypto Cycles Vs. Cycle 4

• ⭐ Top Highlight in Crypto Today

• 🤡 Meme Of The Day

🔮 The Year Ahead: 10 Crypto Predictions for 2025

Recently, the renowned asset manager Bitwise released an updated report outlining 10 notable predictions for the cryptocurrency market in 2025.

In the opening of the report, Bitwise stated that 2024 has laid a solid foundation for even stronger growth in the crypto market in 2025. Bitwise is optimistic and projects that 2025 will truly be the "Golden Era" of the entire cryptocurrency market. And here are 10 predictions:

• Prediction 1: Bitcoin, Ethereum, and Solana will hit new all-time highs, with Bitcoin trading above $200,000.

• Prediction 2: Bitcoin ETFs will attract more flows in 2025 than they did in 2024.

• Prediction 3: Coinbase will surpass Charles Schwab as the most valuable brokerage in the world, and its stock will top $700 per share.

• Prediction 4: 2025 will be the “Year of the Crypto IPO,” with at least five crypto unicorns going public in the U.S.

• Prediction 5: Tokens launched by AI agents will spearhead a memecoin mania even bigger than in 2024.

• Prediction 6: The number of countries holding bitcoin will double.

• Prediction 7: Coinbase will enter the S&P 500 and MicroStrategy will enter the Nasdaq-100, adding crypto exposure to (nearly) every U.S. investor’s portfolio.

• Prediction 8: The U.S. Department of Labor will relax its guidance against crypto in 401(k) plans, enabling billions of dollars to flow into crypto assets.

• Prediction 9: Stablecoin assets will double to $400 billion as the U.S. passes long-awaited stablecoin legislation.

• Prediction 10: The value of tokenized real-world assets (RWAs) will surpass $50 billion as Wall Street’s embrace of crypto intensifies.

• Bonus Prediction: In 2029, Bitcoin will overtake the $18 trillion gold market and trade above $1 million per bitcoin.

📈 The Past 3 Crypto Cycles Vs. Cycle 4

The idea of a four-year cycle in crypto, driven by Bitcoin’s halving events, is widely discussed. Here's a simpler breakdown:

The Halving Cycle Pattern: Bitcoin’s price tends to follow a predictable pattern after each halving:

• 2 years of growth: Prices rise.

• 1 year of losses: A bear market follows.

• 1 year of consolidation: Prices stabilize before the next cycle begins.

Past Cycles:

1. First Cycle (2012 Halving): Bitcoin’s price grew nearly 100x.

2. Second Cycle (2016 Halving): Bitcoin rose about 30x over 540 days, followed by a bear market called the "crypto winter."

3. Third Cycle (2020 Halving): Bitcoin’s price increased 89x, with the growth phase lasting about 18 months.

Current Cycle (2024 Halving) - What’s Different?

• Bitcoin’s price has risen sharply since the halving, but future growth might slow as its market gets bigger.

• The cycle could last longer this time.

• Unlike in previous U.S. election years, Bitcoin’s price has not returned to earlier lows.

Key Changes in This Cycle:

1. Bitcoin’s mining power (hash rate) hit an all-time high during the bear market.

2. Long-term holders now own 76.2% of all Bitcoin—another record.

3. Governments in several countries are mining Bitcoin.

4. The Lightning Network, which makes Bitcoin transactions faster, now handles over $150 million.

5. Bitcoin adoption has reached new heights, with more companies accepting it as payment.

6. Bitcoin is no longer seen as a niche asset; it is now recognized by governments and institutions.

Predictions for the 4th Cycle:

• A new price peak is expected before the next halving.

• Analyst Krüger believes Bitcoin’s price could reach a major high around March, but this may not mean the start of a bear market.

• Krüger also warns that when too many people believe in the idea of a “supercycle” (continuous growth without a crash), it could signal a market top.

Note: The idea of a Bitcoin “supercycle” is debated. Some, like Krüger, see signs of an extraordinary rise, but critics warn that Bitcoin’s history of sharp crashes shouldn’t be ignored.

⭐ Top Highlight in Crypto Today

• 📜 The Satoshi Action Fund is about to announce a new 'Strategic Bitcoin Reserve' bill. This shows a growing interest among states in adopting and regulating Bitcoin and blockchain, which could inspire other states to follow suit

• 🌸 Japan will launch its first crypto-backed credit card by 2025, featuring regulations compliance and unique ‘Pay-to-Earn’ airdrop rewards for users.

• 🌟 Binance secured $24.2B in inflows in 2024, driven by 250M users, institutional growth, and Bitcoin ETFs, becoming the first exchange to surpass $100T in trading volume.

• 💼 BlackRock’s report suggests allocating 1-2% to Bitcoin for portfolio diversification. It positions Bitcoin as a diversification tool, alongside stocks like Nvidia, Amazon, and Apple. A 1% allocation of its $5.2T assets could generate $50B in demand.

• 🏛️ Texas introduced a bill to create a strategic bitcoin reserve, accepting bitcoin for taxes and fees, aiming to strengthen the state's finances and lead in bitcoin innovation.

• 🚫 Coinbase plans to delist Tether’s USDT and five other stablecoins in Europe due to MiCA regulations. It will assess relisting compliant stablecoins after December 30, 2024, when full regulations take effect.

🤡 Meme Of The Day

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