Bitcoin Forecast: Galaxy Analysts Estimate Cryptocurrency to Touch $185,000 Mark
In a remarkable turn of events, Bitcoin-based exchange-traded products (ETPs) are closing the gap with physical gold funds, just a year after their approval in the United States. At the current moment, the total Assets Under Management (AUM) for spot Bitcoin ETFs stands at an impressive $106 billion.
This surge in Bitcoin's popularity has not gone unnoticed by analysts at Galaxy Research. Their forecast predicts Bitcoin to surpass $150,000 by Q1 2025 and potentially reach $185,000 by the end of 2025. This projection aligns with the bullish expectations of other experts who anticipate Bitcoin hitting up to around $150,000–$181,000 in 2025, with some targets even extending beyond $200,000 by year-end.
So, what are the key drivers behind Bitcoin's growth? According to Galaxy Research and other bullish analysis, there are several factors at play.
Firstly, strong institutional accumulation and strategic investments are playing a significant role. Companies like MicroStrategy and Metaplanet are among those increasing their Bitcoin holdings.
Secondly, macro-economic factors such as a weaker U.S. dollar and tariff policies impacting gold are increasing Bitcoin's appeal as a store of value alternative.
Thirdly, technical bullish setups and favorable fractal patterns suggest a continued long-term uptrend with potential altcoin cycles following Bitcoin's moves.
Fourthly, ecosystem developments and growing network fundamentals, including increased Ethereum staking and broader crypto adoption, are supporting positive sentiment in the crypto market.
Specific to Galaxy Research, factors like accumulation by whales and ongoing innovations in the crypto sector contribute to their positive outlook on Bitcoin, as well as Dogecoin and Ethereum.
By Q4 of 2025, Bitcoin is expected to test or exceed $185,000. Throughout its existence, Bitcoin has grown faster than other asset classes, including the S&P 500. The total AUM for spot Bitcoin ETFs is predicted to reach $250 billion in 2025.
In 2025, Bitcoin is expected to be among the top performers on a risk-adjusted basis among global assets. In 2024, it already ranks as the 3rd best performing asset on a risk-adjusted basis.
The analysts from Galaxy Research attribute the growth of Bitcoin in 2025 to institutional, corporate, and nation state adoption. The AUM comparison between Bitcoin and other assets in 2025 is due to both record inflows and Bitcoin price appreciation throughout 2024.
As we move forward, it will be fascinating to witness how these predictions unfold. The crypto market, with its inherent volatility, promises an exciting journey for investors and observers alike.
Investing in Bitcoin is predicted to continue attracting attention, with Galaxy Research forecasting it to surpass $185,000 by Q4 of 2025 and potentially reach $150,000–$200,000 by the end of 2025. This growth is attributed to several factors, including strong institutional investments, macro-economic factors, technical setups, ecosystem developments, and increased Ethereum staking. Moreover, the total Assets Under Management (AUM) for spot Bitcoin ETFs is anticipated to reach $250 billion in 2025.