A recent report by Steno Research suggests that 2025 will be a historic year for cryptocurrencies, driven by favorable regulatory changes, improving macroeconomic conditions, and increasing institutional adoption.
BTC and ETH: Record-Breaking Price Predictions
The report projects Bitcoin's price to exceed $150,000 and Ethereum's to surpass $8,000 by 2025. These price targets are attributed to several factors: regulatory support, Bitcoin's halving-related price surges, and macroeconomic tailwinds. Ethereum is expected to outperform Bitcoin, with the ETH/BTC ratio rising to 0.06 from its current level of 0.035, reflecting Ethereum's expanding role in decentralized applications and the broader blockchain ecosystem.
Institutional Adoption: A Tipping Point
Steno Research forecasts a surge in institutional capital inflows, particularly through U.S.-based Bitcoin and Ethereum exchange-traded funds (ETFs). Net inflows for BTC ETFs are expected to reach $48 billion, while ETH ETFs could see inflows of $28.5 billion by 2025. The growing appeal of ETFs underscores institutions' increasing confidence in crypto as an asset class.
DApps and Altcoins: The Rise of a New Era
The report also highlights trends in decentralized applications (DApps) and alternative cryptocurrencies (altcoins). Total value locked (TVL) in DApps is forecasted to reach $300 billion by 2025. Key factors driving this growth include enhanced on-chain activity for Ethereum and other altcoins such as Solana. Bitcoin's market dominance is predicted to drop from 57% to 45%, allowing altcoins to gain prominence.
The Steno Research report highlights the potential for 2025 to be a transformative year for the cryptocurrency market, driven by a combination of favorable regulatory, economic, and institutional factors.
