where is the Bitcoin price going this year and will Ethan ever recover and which altcoin sector is absolutely going to crush it well if you want the answer to any of these questions and many more then you better watch this video I want answers and that’s because in it we are going to break down one of the most important institutional reports from an absolute Titan in the crypto industry my name is Nick and don’t you go anywhere I’ll start by saying that nothing in this video is financial or investment advice this video is purely for entertainment and educational purposes and is designed to help you on your crypto quest with that out of the way let’s dig start digging the report we’ll be summarizing today is titled quote crypto predictions for 2025 it was written by Galaxy digital which is one of the largest and most respected crypto investment companies we’ll leave a link to the full report in the description for you for you to come back and read at your leisure now the first section of the report revolves around Galaxy’s Bitcoin predictions and the first of these is that quote Bitcoin will cross 150k in H1 and test or best 185k in Q4 2025 the report notes that this will be thanks to a wave of investments from institutions and corporations and of course adoption by nation states the report nods to BTC been the best performing asset class ever and adds that it will reach 20% of Gold’s market cap uh for context gold has a market cap of 18.7 trillion at the time of shooting this video so this would give Bitcoin a market cap of around $3.7 trillion that’s more than the market cap of the entire crypto market today which sits at around $3.3 trillion and it also translates to a 2X for BT even at today’s prices not bad at all and this ties into the second prediction which is that quote the US spot Bitcoin etps will collectively cross $250 billion in assets under management or AUM for context ETP stands for exchang traded product and exchange traded funds or ETFs fall under the ETP umbrella and of course Bitcoin etps have been growing very fast especially the spot ETFs and Galaxy sees this trend continuing now the next prediction is intriguing and despite the success of the spot Bitcoin ETFs there hasn’t been a single asset manager recommending BTC as part of an Investment Portfolio well the report says this will change and expects at least one asset manager to recommend an allocation of at least 2% make no mistake folks this 2% on billions possibly even trillions in assets would mean a lot of money flowing into Bitcoin next the report predicts that five companies in the NASDAQ 100 will add BTC to their balance sheets and five nation states will announce that they have added BTC to their Sovereign wealth funds interestingly the report points out that this BTC will be accumulated through either mining or buying Bitcoin having five nation states adopt BTC might sound unrealistic but uh given the new stance of the US it’s likely that other countries will want to follow suit and compete after all they risk falling behind if they don’t did you know that China still accounts for a significant portion of bitcoin’s hash rate and that most Bitcoin mining Machines are made in China probably nothing speaking of which the report also predicts that Bitcoin miners will agree on the next Bitcoin Improvement proposal or bi IP or bip for short for reference bips are basically upgrades to bitcoin quote since bitcoin’s Inception reaching consensus on soft Forks has been a timec consuming and rare feat but consensus will emerge in 2025 an FYI soft Forks involve upgrading Bitcoin in a way that doesn’t completely change its rules anyway the report expects the miners to be on board with three bips now these are op CV which enables more complex transaction types then there’s op csfs which checks that a Signature Signs an arbitrary message and opcat or opcat which expands bitcoin’s functionalities to enable features similar to ethereum’s Smart contracts albeit not quite as advanced and for the final Bitcoin prediction the report reckons that the amount of BTC locked in defi protocols will almost double in 2025 and notably it points out that 70% of wrapped versions of BTC is used as collateral on lendin protocols as people look to earn a yield we actually reckon that so-called BTC fi or BTC defi will be a sector to keep a very close eye on uh topic for another video perhaps oh and um if you enjoying this one show it some love by punching those like And subscribe buttons and of course flicking that Bell to make sure you don’t miss our next one okay the next section of the report focuses on predictions for ethereum and the first of these being that eth will hit $5,500 this year thanks to a number of factors these include improved defi regulations Partnerships between Defi and trfi and corporations experimenting with layer 2 networks and Galaxy also expects to see a Revival in blockchain gaming and nfts which could of course be huge for eth next the report predicts that more than 50% of eth’s circulating Supply will be State and that’s because president Trump’s Administration is expected to introduce clear regulations in the US which could allow spot ethereum ETF issuers to stake some of the eth that they hold the next prediction uh meanwhile is that the eth BTC ratio will fall to about 0.03 but will rise above 0.045 this year now as you’ll no doubt know uh eth has been struggling against its BTC pair since September 2022 right about the time of the merge but the regulatory changes we just mentioned would likely result in more investment into ether causing it to Rally relative to BTC and the final ethereum prediction is that collectively speaking layer twos will generate more economic activity than alternative layer ones according to the report quote l2s will approach scaling limits early in the year leading to frequent surges in transaction fees that will require a change to gas limits and blob Market parameters uh to be fair though this one’s already baked in uh for those unaware blob transactions are a new data structure introduced in ethereum’s Denon upgrade last year I guess uh someone thought ethereum wasn’t complicated enough already but if you transactions are one of the many things that ethereum devs are looking to improve and you can learn more about report looks at decentralized Finance or defi according to the report defi will enter its dividend era as users and token holders collectively receive over $1 billion in dividends these dividends will apparently come from treasury funds and revenue sharing and will be made possible by a shift in defi regulation the report notes that some defi applications like ethena and RV are already looking at ways to implement dividends uh meanwhile other protocols like Unis Swap and Lio have rejected mechanisms like this but could potentially reconsider next the report predicts that quote onchain governance will see a Resurgence with applications experimenting with fic governance models and if you’ve not heard the word futar before you’re not alone in a nutshell a futar governance model uses prediction markets to guide decisions based on their potential impact essentially the community votes on what goals matter and Market participants bet on which policies will best achieve those goals allowing a datadriven and decentralized decision-making process the more you know anywh who uh the report explains that the reason this is expected to happen is because traditionally onchain governance has suffered from two problems and the first of these is that a lack of people who are willing to vote on governance proposals in the first place and those that do tend to agree by a lance sled majority in fact the chart provided in the report shows that usually governance proposals tend to pass with an approval rating of around 90% it’s possible that one of the reasons for this could be airdrop Farmers looking to increase their chances of receiving those lucrative drops by voting through the winners so to speak but speculation aside the report adds that the success of platforms like poly Market suggest that prediction markets could become the key to creating a more efficient governance system next up the report gives a few predictions for banks and stable coins and the first of these is that the office of the controller of the currency or the OCC for short will pave the way for the world’s top four custody Banks to become custodians of digital assets and that would mean that the likes of bny State Street JP Morgan and City Bank holding BTC at the least with the potential to hold a much broader range of cryptocurrencies it’s hard to say which ones exactly but we can probably use any ETFs as a proxy here since they will already have had the regulatory thumbs up and you can learn more about which altcoins could have their very own ETFs by watching this video right over here moving on the next prediction is that there will be at least 10 stable coins launched by trafi institutions and the report explains that there are a whopping 202 stable coins in existence today and some of these already have strong ties to trafy what’s crazy is that the transaction volume growth for stable coins has outpaced huge Trad five players and many payment platforms are even building stable coin infrastructure PayPal’s py USD Springs to mind here the report adds that major asset managers like Black Rock and Vanek are integrating stable coins into their business model to avoid being left behind and the list of Trad five players exploring stable coins is likely to increase in 2025 so next time your nocoiner friends tell you that crypto won’t ever be taken seriously feel free to point out that even major tradire companies are moving towards the very industry that’s meant to replace them then walk away as smugly as your nocoiner friends cry bitter tears of regret now uh where was I oh yes next the report makes a prediction that see seems a little far-fetched quote tether’s long-standing market dominance will drop below 50% challenged by yielding Alternatives like Black Rock sple ethena usde and even usdc rewards paid by coinbase and circle now the reason this seems farfetched has less to do with other competing stable coins and more to do with usdt you see on the one hand stable coins like usdc and more recently us usde have been incredibly successful uh take for instance the market cap of usdc which has about doubled in the last 12 months on the other hand though usdt has multiple advantages for instance usdt will likely benefit more than others from the increasing number of retail investors flocking to crypto particularly those looking to trade on centralized exchanges and that’s simply because most sex trading is done against usdt and us usdt is also far more battle tested than usde and usdc was also the latest stable coin to dpeg despite circle’s best efforts to do everything by the book they just uh putting that out there but primarily the reason why usdt will see significant growth is because of us Regulators uh particularly Howard latnik the soon to be former CEO of Canto Fitzgerald and if you watched our video on Canter Fitzgerald you’ll know that Howard was selected by Trump to become the new secretary of Commerce what this means is that Howard’s opinion will have significant weight and this is huge news for usdt uh since Howard also happens to be a very vocal supporter of tether not surprising given that Canter Fitzgerald manages most of tether’s reserves and recently acquired a 5% stake in the stable coin issuer and you can of course learn more about Kord Gerald and Howard latnik by watching this video over here now in the final part of the report a few predictions are made about investment and policy and the first of these is that Venture capitalists will invest more than $150 billion into crypto with a year on-year increase of more than 50% the main drivers given for this are a combination of falling interest rates and of course increased regulatory Clarity but not every crypto regulation is expected to be passed without a hitch as the next prediction does indeed show the report reckons that stable coin legislation will be passed in Congress and signed by Trump but the same won’t happen for Market structure legislation essentially Market structure legislation includes any regulatory oversight for token issuers and exchanges according to the report this is more complicated than regulating stable coins and will therefore not be passed and signed into law and this is more significant than you might think though because it implies that stable coins will be one of the biggest beneficiaries of the Trump administration’s Pro crypto approach while most of the rest of the crypto Market gets left behind and this makes sense when you remember that stable coin reserves are backed primarily by US Government debt uh put simply both the government and stable coin issuers are well aware that the two can be mutually beneficial to one another speculation aside the next prediction is perhaps the most controversial given the consensus view of crypto investors everywhere so brace yourself Galaxy’s report predicts that the US government will not purchase any BTC in 2025 but will instead stockpile the coins it already holds which at the time of shooting this video is around 198,000 BTC moreover the report adds that quote there will be some movement within the Departments and agencies to examine an expanded Bitcoin Reserve policy this is almost definitely a nod to the Bitcoin act that Senator santhia lamus introduced during Trump’s campaign rally last year which sets out a plan to build a strategic Bitcoin Reserve by purchasing 200,000 BTC every year for 5 years so 1 million BTC in total now we here at the coin Bureau think that this is unlikely to happen and it could actually be bad for Bitcoin and the economy if it does happen and we’re not alone there either if you watched our recent video on the possible risks to BTC this year you’ll recall that crypto analyst Nick Carter believes a strategic Bitcoin Reserve or S spr is a bad idea and you can find out why by checking out the video right over here and finally the report ends with a much more bullish prediction that we imagine many of you will be excited about and that’s that Doge will finally hit $1 and will have a market cap of $100 billion and this is largely because of another Doge uh the department of government efficiency which is being run by longtime Dogecoin Advocate Elon Musk and you can learn more about Doge in our recent video right over here however the report also notes that if Dogecoin were to reach these Milestones uh the crypto Doge would be overshadowed by the government Doge and that’s because the government Doge would cut trillions of dollars of spending taking the wind out of the headlines about Doge the crypto hitting a 10000 billion market cap Elon Musk originally claimed that Doge could cut at least $2 trillion from the federal budget however he has since walked back on those ambitious targets somewhat half in his original Target to just 1 trillion in his words quote if we try for two trillion we’ve got a good shot at getting one musk went on to say that if Doge can free up the economy so that the output of goods and services keeps Pace with the increase in money supply there’d be no inflation an interesting Theory to say the least although it does raise questions about which sectors have to take a hit for that to happen if the cuts are too deep there’s a risk this could actually do more harm than good and this would hurt the economy and cause the markets to slow right down including crypto so then that brings us to the end of Galaxy’s report and leaves us with the big question what will all of this mean for crypto in 2025 well something that’s clear throughout the report is that us regulations will be the biggest Catalyst for crypto’s Success well uh providing that Trump delivers on his various promises that is however if it turns out that these promises were nothing more than words used to get Trump reelected it would have devastating consequences it would kind of be like Trump took the crypto industry out for a nice seafood dinner got what he wanted and didn’t call us back the next day we’d be tossed aside nothing more than a blubbering mess crying into our pillows wondering what the hell went wrong anyways assuming that Trump does indeed call us back that is provide clear regulations it’s safe to say that the crypto Market will grow to levels that we literally couldn’t predict and that’s simply because this is Uncharted Territory for us we’ve never had this level of support from us politicians in crypto’s history put differently the sky is potentially the limit from here if regulations become clear then we can easily see a scenario where hundreds of publicly traded companies begin to add crypto to their balance sheets after all BTC is digital gold and this government approved asset also happens to be the best performing asset of all time it’s not just BTC that would benefit either one crypto that could benefit in a huge way is ethereum as the report touched on eth’s price would rally like crazy if regulations allow ETF Holdings to be staked since that would offer them a very lucrative yield something that institutions would of course lap up in a heartbeat this would drive up ethereum’s ETF adoption through the roof pushing E’s price up along with it and when you combine this with the upcoming Petra upgrade and the all but guaranteed rotation from BTC into altcoins you quickly realize that 2025 could in fact be one of eth’s best years to date heck we reckon that Galaxy’s prediction of $5,500 is incredibly conservative of course a rally in E price will likely translate to a rally in the broader altcoin market so for all of you in the comments asking when out season the answer could be soon and of course there are many more developments that we expect to play out this year and you can find out what those are by watching our very own 2025 predictions in the video right over here now are you subscribed to the channel if yes give yourself a pat on the back if no tap this button right over here or if you’re interested in trading content you should check out our new trading channel right over here that’s me for now I’ll see you next time [Music]
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