Investment management firm VanEck has released its cryptocurrency market forecast for 2025, predicting significant growth with Bitcoin (BTC) reaching $180,000 and Ethereum (ETH) exceeding $6,000.
2025 Predictions
The firm also expects Solana (SOL) to surpass $500 and SUI to rise above $10. According to VanEck, the crypto bull market is expected to reach a medium-term peak in the first quarter of 2025, followed by a 30% pullback for Bitcoin and a sharper 60% decline for altcoins in the summer. However, they predict recovery and new market highs by the fourth quarter of 2025 thanks to increasing adoption and market momentum.
Industry Developments Expected
Key milestones for 2025 highlighted by VanEck include the adoption of Bitcoin by the US, possibly adding it to strategic reserves and encouraging widespread crypto adoption. The value of tokenized securities is expected to exceed $50 billion, indicating a shift towards blockchain-based financial assets. Stablecoins are predicted to process $300 billion worth of transactions daily, while decentralized finance (DeFi) could reach record levels with $4 trillion in decentralized exchange (DEX) trading volume and $200 billion in total value locked (TVL). Ethereum innovations are estimated to generate $1 billion in fees from its ‘blob space’, and on-chain activities of AI agents are expected to exceed 1 million, demonstrating AI’s integration with blockchain technology.
2024 Forecast Adjustments
VanEck also revised its 2024 forecasts, giving them an 8.5 out of 15 scores. Notable wins include a successful Bitcoin halving, the first launch of spot Bitcoin ETFs, and record-breaking performance for Bitcoin and Ethereum. Notable mispredictions involve underestimating Tier-2 adoption and stablecoin growth.
This is not investment advice.
VanEck's forecasts highlight an increasing interest in cryptocurrencies and their potential for significant growth by 2025, marking important expected changes and developments in the industry.
