- Bitcoin’s Strong Start and Price Targets for 2025
- Regulatory Shifts and the Crypto-Friendly Administration
- Institutional Adoption and the Role of Bitcoin ETFs
- Bitcoin Halving and and Supply Dynamics
- Bitcoin’s Growing Role in National Reserves and Global Financial Systems
Bitcoin had a great year in 2024 and it is looking pretty good in 2025, forming a support zone around $90,000 and even printing a new record high in January, while the price consolidates around the $100,000 level, which leaves the door open for $200K by the end of 2025. BTC made new record highs twice last year, and finally made the big break, climbing above the $100K level.Â
The Bitcoin (BTC) halving took place in April, but it didn’t have a dramatic impact on the cryptocurrency’s price. However, BTC broke above the previous high of $65,000 in March, to climb above $73,000 as risk sentiment improved in the crypto markets, due to the approval of Bitcoin ETFs in the United States which have attracted massive funds and predict that 2025 should surpass it in terms of capital inflow as more investors embrace these funds. In November 2024, Bitcoin bulls resurfaced as they pushed the price to $108,000, helped by US politics, and the progress in the Ripple vs SEC case.Â
So, the bullish momentum remains strong, further solidified by institutional endorsement. BTC printed a new high in January 2025 above $109,000 as Donald Trump took office and the SEC chair resigned, as markets await more clarity on crypto legislation.
Bitcoin Chart Daily – The Support at $90K Attracting Buyers
So, 2025 has started pretty well, with the price consolidating around the $100K level, while the $90K level has turned into strong support, which shows that the demand for Bitcoin jumps as soon as there is a little retracement in the price.Â
The new White House administration has made it clear it will be pro crypto, with Donald Trump releasing the Trump Coin in January 2025, while Trump plans crypto-friendly orders in the first few days on duty. This most likely pushed Gary Gensler to announce his resignation in late 2024, who is known for his strict enforcement actions, particularly targeting cryptocurrency companies, the U.S. Securities and Exchange Commission (SEC) Chair, which was another bonus for the crypto market. Â
Bitcoin Technical Analysis – BTC Bulls Activate As MAs Catch Up
Bitcoin continues to be the most expensive cryptocurrency by market capitalization at $2 trillion as of January 2025, as well as in terms of price, and in 2024 it made two major bullish breaks. That opened the door for $150K and probably $200K by December 2025, considering that BTC surged 250% last year.Â
So, a 250% surge would send BTC to $230K by the end of this year. In fact, BTC/USD has made quite a journey since it started getting standard pricing in 2010, with the first surge in 2013 which sent the price above $1,000, then in late 2017 came the second wave of buying, which sent the price within reach of $20,000. That was the resistance for several years, until 2020 when the Covid pandemic and lockdowns turned the public further toward cryptocurrencies.
Bitcoin Chart Monthly – Constant Record Highs Point to Further Gains in 2025
The crypto market entered another bullish phase and by the end of that year, Bitcoin broke above $20,000. BTC/USD surged to $61,119 by March 2021 and after a retreat in the summer, Bitcoin placed a new record high at $64,402 by November that year. In 2022 the price retreated to $16,449 as the war on cryptos commenced, which was a great place to buy Bitcoin.Â
In late 2023, Bitcoin buyers started to return, forming a steady uptrend in BTC, which picked up pace in Q1 of 2024 as freshly introduced spot bitcoin exchange-traded funds (ETFs) were driving demand after finally being approved by the SEC. Bitcoin placed another record high at $73,096 which remained the high until November.Â
The Republican win in the US presidential elections was a major boost for the cryptocurrency market, considering that Donald Trump is pro-crypto and made it clear the whole time, before and after winning. The Federal Reserve scaled back its expectations for interest rate cuts in 2025, Treasury yields could remain high, making them more attractive to investors compared to riskier assets such as bitcoin, but it could not crash bitcoin’s party which kept the bullish momentum.
Besides that, the progress in the Ripple case and the resignation of the SEC chairman Gensler further added confidence in the crypto market and Bitcoin made the big break above $100K, reaching $108,320 by December. The start of 2025 is looking pretty good, with the price consolidating around the $100K level and forming a support one at $90K, indicating confidence in Bitcoin buyers.
Bitcoin in 2025: Crypto Regulatory Shifts
After a remarkable year for the cryptocurrency industry, business leaders are optimistic about 2025. One of the key challenges in recent years has been regulatory uncertainty, but with the Trump administration taking office, expectations are high for clearer policies.Â
During his campaign, Trump made several commitments to the cryptocurrency sector, and attention will now focus on his administration’s efforts to establish regulatory clarity. The crypto market has faced challenges due to the agency’s enforcement-driven approach, but with the previous SEC Chair Gary Gensler’s departure, things will brighten up.Â
Trump has promised to appoint a more crypto-friendly replacement, which should be easier given the election of more pro-crypto lawmakers in Congress. Experts predict that stablecoin regulations will be a top priority, followed by the introduction of a crypto market structure law to clarify which digital assets qualify as securities or commodities.Â
This regulatory reset could provide established cryptocurrencies like Bitcoin with a fair competitive environment, allowing them to succeed based on their fundamentals. Additionally, Trump has expressed his intent to expand Bitcoin mining operations within the US, advocating for all Bitcoins to be mined domestically.
Bitcoin as a National Reserve Asset
Bitcoin’s integration into global financial systems continues to grow, with 13 countries now holding Bitcoin in their national reserves. Trump has voiced support for the idea of the US establishing a strategic Bitcoin reserve, similar to the country’s strategic Oil or Gold reserves. This plan would involve the government accumulating large amounts of Bitcoin over the coming years.Â
Senator Cynthia Lummis has endorsed the idea, citing Bitcoin’s limited supply as an ideal fit for national reserves. A more immediate and feasible step could involve officially designating the approximately 207,000 Bitcoin already in US possession as part of the national reserves under the US Treasury.Â
However, further large-scale acquisitions would require legislative approval and a shift in the Treasury’s current stance, which remains resistant. If Bitcoin were to gain widespread acceptance as a global reserve currency, it could challenge the dollar’s position as the world’s primary reserve asset, introducing new economic dynamics.
Key Bitcoin Milestones of 2024
Bitcoin experienced significant milestones in 2024, reinforcing its position as the leading cryptocurrency. One of the most notable events was the approval of spot Bitcoin ETFs in January, providing mainstream investors with a regulated way to gain exposure to Bitcoin through their brokerage accounts. These ETFs function by purchasing Bitcoin from approved exchanges or existing holders and then issuing shares, based on the amount of Bitcoin held, allowing investors to trade them on traditional stock exchanges.Â
The launch of the first Bitcoin ETFs in January 2024, marked a turning point for institutional involvement, with single-day inflows reaching approximately $1 billion by January 2025. The approval came after years of regulatory hurdles, with ETF issuer Grayscale winning a key lawsuit against the SEC, which had previously permitted only futures-based Bitcoin ETFs since 2021. The introduction of these spot ETFs contributed to diversifying investment portfolios and expanding institutional adoption of digital assets.
Bitcoin ETF Inflows Overview
- BlackRock’s IBIT: Leading the market with $380 million in inflows.
- Fidelity’s FBTC: Secured a strong $330 million in capital.
- Bitwise’s BITB: Attracted $208 million.
- Grayscale’s Bitcoin Mini Trust: Recorded $43 million in inflows.
- VanEck’s HODL: Collected $12 million.
- Invesco’s BTCO: Added $6.5 million.
- Valkyrie’s BRRR: Brought in $4 million.
Fourth Bitcoin Halving and Supply Reduction
Another major event in 2024 was the Bitcoin halving, which took place in April when the blockchain reached block number 740,000. This programmed event reduced the mining reward from 6.25 BTC to 3.125 BTC per block, effectively cutting the rate of new Bitcoin issuance in half.Â
Bitcoin halvings occur approximately every four years, or every 210,000 blocks, as part of the cryptocurrency’s design to control inflation and gradually approach the fixed supply cap of 21 million BTC. Due to the network’s average block time of 10 minutes, the exact halving date is variable.Â
The next halving is projected to occur in 2028 at block 850,000, further reducing the mining reward to 1.5625 BTC per block. Between these halving events, a total of 328,125 new BTC will enter circulation, further tightening supply and potentially influencing Bitcoin’s value.
Bitcoin Technological Advancements Roadmap
Q2 2024: The Revelation Phase
- BitVMX Whitepaper – Introduction of a framework to execute programs on Bitcoin, enabling decentralized bridges and enhancing Bitcoin and Rootstock functionality.
- BitVMX PoC – Implementation of the challenge-response protocol; an early version verified a SNARK proof on Bitcoin.
Q3 2024: The Advancement Phase
- Bitcoin Native Assets Bridge – Seamless cross-chain transfers of Bitcoin assets (Runes) into Rootstock, unlocking DeFi opportunities.
- Upgraded Rootstock Access – Faster and cheaper BTC swaps via Boltz and Flyover integration into Rootstock’s web dApp (PowPeg Fast Mode).
- FASTER Protocol Design – Initial research completed to enable parallel transaction execution, improving scalability.
Q4 2024: The Scaling Phase
- Union BitVMX Bridge Whitepaper – Design of a decentralized bridge between Bitcoin and Rootstock using BitVMX technology.
Q1 2025: Decentralization 2.0 Phase
- Rootstock Lovell Network Upgrade – Enhancements to PowPeg robustness and Ethereum compatibility (RSKIP-435).
- Rootstock SuperBridge – Simplified and efficient RBTC (and RIF) bridging for better user experience.
- Intel SGX-based PowHSMs – Cloud-based HSMs to expand pegnatories and diversify manufacturers.
- RSKj Snap Synchronization – Faster full node sync, reducing time to a few hours.
Q2 2025: Scalability Enhancements
- Parallel Transaction Execution (RSKIP-144) – Parallelized transactions to increase throughput and block gas limit.
- SegWit-compatible PowPeg (RSKIP-305) – More pegnatories and reduced peg-out fees by up to 70%.
Late 2025: Final Upgrades
- Faster Transaction Confirmations – Reduction of confirmation times from 30 to 5 seconds, improving efficiency.
- Union BitVMX Bridge Launch – A trust-minimized Bitcoin/Rootstock bridge with a 1-of-n honest assumption, requiring no Bitcoin consensus changes.Â
Conclusion: Can Bitcoin Price Cross $200,000 in 2025?Â
The year 2025 has kicked off on a high note for cryptocurrencies, with Bitcoin reaching a new all-time high, signaling strong demand from both retail and institutional investors. Interest from ETF providers, corporations, and even nation-states have contributed to this surge. Despite historical patterns suggesting a potential correction following a strong performance in previous years, early 2025 price action indicates otherwise.Â
The growing mainstream adoption of cryptocurrencies, coupled with increased participation from institutional investors, may help stabilize the market and limit any significant downturns. Given the current momentum, Bitcoin is projected to reach $150,000 within the first half of the year and potentially hit $200,000 by year-end.