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Forecast: What future for Bitcoin in 2025?

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While the most famous cryptocurrency is below $ 45,000, the question of the long-term future of Bitcoin is increasingly questioning investors. If the development of the cryptocurrency market is undeniable and could have a positive effect on the price of the token, other variables must also be considered. Foremost among which are climate and regulatory issues. Overview of the various opinions on the price of Bitcoin in 2025!

Bitcoin: The Climate and Regulatory Threat

It’s no secret that Bitcoin is often mocked for its carbon footprint. A colossal carbon footprint which is mainly linked to its mining protocol: the famous Proof of Work. This protocol is based on increasing the difficulty of mining and has the direct consequence of requiring ever more energy-consuming devices. In terms of energy consumption, the Bitcoin problem has also been raised for many years. This trend could increase in the months and years to come. This debate therefore gives rise to fears of a possible drop in the price of the token.

But Bitcoin could also vary due to regulatory changes. This element could then affect the entire crypto sector. Many organizations are also calling for the creation of a common regulatory framework around digital currencies. But the threat of an outright cryptocurrency ban seems highly unrealistic. Among the questions about the future of Bitcoin’s price, we can also highlight the deployment of CBDCs, the famous digital currencies of central banks. An element that could precisely push the authorities to legislate on cryptoassets.

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The rise of DeFi is also an axis to be considered. Ethereum and other protocols could then be favored in an arbitration with Bitcoin. But this scenario shows some limitations. Indeed, most of the predictions which estimate that the price of Ethereum could explode assume a BTC which would have exceeded 6 digits. These estimates then tend to show that a high Ethereum also necessarily goes through a healthy Bitcoin.

Feedback on the Bitcoin price

The following graph shows the price of Bitcoin over the last 5 years.

Graphically, we see that the enthusiasm has been extremely strong. If we spoke of an explosion in the price of the asset in 2017, this episode of several months could today pass for an epiphenomenon. However, it was indeed the major trigger for the craze and a tremendous accelerator for the development of digital currencies.

While it was listed at 547 euros at the end of September 2016, the asset is now above 41,000 euros. In the space of 5 years, its price has multiplied by nearly 80. If Bitcoin were to experience the same trajectory in the next 5 years, the price of the asset could then exceed $ 3 million. This would value Bitcoin to the tune of $ 69 trillion, more than 3 times the GDP of the United States and barely below the global GDP. It is difficult, if not impossible, to imagine a Bitcoin at this level by 2026.

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Future of Bitcoin: What about Prediction Algorithms?

Based on the prediction algorithms, the data appears to be quite positive. According to the models developed by DigitalCoinPrice, the future of Bitcoin could be written loud and colorful. Assets would exceed the $ 100,000 mark in the course of 2024. For the end of 2025, the platform’s algorithms are counting on the probable scenario of a Bitcoin above $ 130,000.

TradingBeasts, which only offers predictions until 2024, is more cautious. The platform predicts that the price of the most famous cryptocurrency could exceed $ 56,000 in December 2024. In an estimated price range of between $ 48,000 and $ 70,000. On the side of WalletInvestor, optimism is also de rigueur. The site’s models estimate that Bitcoin will likely end up nearing $ 177,000 by the end of 2025. In a price range between $ 157,000 and $ 198,000. This equates to price approximately 4 times higher than the current price.

Bitcoin Price: Large and Heterogeneous Estimates

Bloomberg estimates that the token could exceed the $ 100,000 mark by 2025. Raoul Pal, former Goldman Sachs and current head of Real Vision is even more optimistic about the future of Bitcoin. According to him, a token could be exchanged for nearly a million dollars by 2025.

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Other players in the stock market or the world of cryptocurrencies believe that Bitcoin could experience some form of crash. Without measuring or evaluating the consequences.

Nevertheless, over a fairly long horizon, the predictions obviously remain very uncertain. A time factor which largely explains the significant differences that may exist between the forecasts of each actor. Some forecasts also seem to be guided by self-interest. Either way, some form of positive consensus seems to be forming over the long-term future of Bitcoin.

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Morgan Creek’s Mark Yusko Issues Crypto Warning, Says Bitcoin Pullback Likely

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After Bitcoin’s positive price action this month, Morgan Creek Capital Management’s CEO thinks it’s possible BTC is bracing for a short-term pullback.

Mark Yusko, who also serves as chief investment officer of the investment management firm, tells CNBC in a new interview that Bitcoin faces a “buy the rumor, sell the news” risk.ADVERTISEMENT

“We saw this in the lead-up to El Salvador making Bitcoin a legal tender. There was a big run-up and then the day after the announcement, there was a little mini-crash. So I think there’s some risk of that around October 27th when we find out which, if any – and I think it will actually be multiple – of the [BTC exchange-traded funds] are approved.”

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Yusko adds that he wouldn’t be surprised if there’s a “little consolidation” in BTC’s short-term future.

“Look, we’re up 40% this month, which is only 15 days old, and we’re up over 110% year-to-date, so a pause that refreshes, given how overbought we are right now, wouldn’t surprise me.”

Yusko also highlights the potential factors that can push the price of Bitcoin higher once the narrative involving the BTC exchange-traded funds (ETF) runs out of steam.

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“The next catalysts to your question are seeing increasing adoption [and] seeing increasing numbers of use cases. Those numbers all look really good. The hash rate is something to watch that has come back dramatically since the China ban on the miners.”

The hash rate is a Bitcoin mining metric that measures the processing power of the BTC network. An increased hash rate indicates greater security and higher resistance to network attacks.

The Morgan Creek CEO also mentions the stock-to-flow (S2F) model, which attempts to predict the price of crypto by measuring the amount of new supply entering the market per year compared to the amount of supply already in existence.

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“There are a lot of people that think we can hit $100,000 by the end of the year. The stock-to-flow model says we should. And then there’s the speculative nature that price usually blows right through value.”

Bitcoin is trading at $61,949.33 at time of writing, up more than 13% in the past week, according to CoinGecko.

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ProShares debuts trailblazing bitcoin ETF on NYSE

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  • ProShares gets the Security and Exchange Commission’s (SEC) nod to launch a Bitcoin (BTC)-linked exchange-traded fund (ETF). The trailblazing ETF will list on the New York Stock Exchange (NYSE) under the $BITO ticker.
  • SEC’s approval falls short of the market that’s pushing for a BTC spot-based ETF. The US is lagging in approving these types of products as other countries make strides.

ProShares has confirmed that it is debuting  its much anticipated bitcoin-linked ETF. The trailblazing BTC futures tracking product goes live on the NYSE on Tuesday. It’ll trade under the $BITO ticker. 

Its listing follows the SEC’s approval of ProShare’s application to offer the product. Investors can now access the leading crypto without having to hold it.

Michael L. Sapir, ProShares CEO, says the approval has been a longtime coming. He holds that $BITO will expose BTC enthusiasts to the asset within a regulated environment. 

Additionally, they needn’t open new accounts with crypto providers. Instead,  they can use their existing brokerage ones to trade.

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The SEC’s nod for the EFT has been in the works for sometime. Its chair, Gary Gensler, has previously let on the regulator’s preference for BTC futures ETFs over spot-linked ones. So it isn’t a surprise that ProShares got the greenlight now. 

ProShares listing falls short of market expectations

Although positive, the move falls short of many BTC enthusiasts’ expectations. A majority of them have been clamouring for BTC spot-based ETFs. But the SEC has been reluctant to approve those citing price manipulation concerns.

This stance has forced some institutional investors to move abroad searching for more accepting markets. Ark Investments, for instance, has listed a BTC spot tracking ETF in Canada. 

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As the US is lagging in approving BTC-linked spot ETFs, other nations are embracing them. Canada and Brazil have allowed the listing of these products in both BTC and ETH. The crypto community is positive that the US will follow suit.

ProShares’ approval and listing is a big win for the budding crypto industry. Ian Balana of Token Metrics says it’s the SEC’s most important endorsement of crypto. 

Balana says the move is indicative of regulators ceding ground on their objections over the asset class. To him this action opens the floodgates of new capital entering the space.

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Other firms are lining up for approval

Upto 10 firms have unsuccessfully sought leave to offer spot-based BTC EFTs. The SEC rejected them though,arguing that they’re prone to manipulation.

Besides ProShares, several other BTC futures are coming up for review this October. These include Van Eck, Valkyrie and Invesco. Barring the regulator’s objections they’ll be able to list seventy five days after completing their paperwork.

Futures based ETFs allow you to directly invest in BTC. In the contract, you agree to trade the asset in the future at a set price. This ETF doesn’t track the asset’s price rather the asset’s cash settlements.

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To analysts, ProShares approval sets the pace for acceptance of spot based ETFs. Today, the crypto market has advanced greatly since the initial round of applications. 

Bitcoin has responded positively to the development. Following the listing it appreciated by 2% to close at $62,041.84 on Monday. The market waits to see if it’ll surpass it’s all time high of $ 64,800.

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ProShares Bitcoin Futures ETF Generates $500 Million Trading Volume in First Hour

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The first bitcoin futures exchange-traded fund (ETF) listed in the United States, the ProShares Bitcoin Strategy ETF, has generated a trading volume of over $500 million in its first trading hour, making it one of the top ETFs by trading volume on launch day.

According to available data the ProShares Bitcoin Strategy ETF, which was listed on the New York Stock Exchange today, has already seen 14.9 million shares change hands since listing, has already reached a $42.149 high and a $40.07 low.

Bloomberg Senior ETF analyst Eric Balchunas has pointed out on social media that in the first 20 minutes after being listed the ETF, under the ticker BITO, traded $280 million worth of shares, putting in the “top 15 opening day launches of all-time,” surpassing ETFs tracking the price of gold and the Nasdaq index.

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The analyst pointed out that it’s unclear how much of the bitcoin futures ETFs trading volume was natural and how much was from traders making a profit on the opening day’s volatility.

When ProShares confirmed the ETF was being listed, its CEO Michael L. Sapir said the firm believes “a multitude of investors have been eagerly awaiting the launch of a bitcoin-linked ETF after years of efforts to launch one,”

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Other bitcoin futures ETF applications are hoping to move forward with trading this month, so a second futures-based bitcoin ETF could launch in the near future. A bitcoin ETF being approved in the U.S. is the culmination of a nearly decade-long campaign to list such a product.

Crypto advocates have been looking to list an ETF  ever since Cameron and Tyler Winklevoss, the founder of the Gemini exchange, filed the first Bitcoin ETF application in 2013. Bitcoin’s price has moved up significantly on the ETF listing expectations and is now trading close to $63,500.

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