Since the beginning of 2025, Bitcoin (BTC) has been largely swayed by fundamental news. Especially last week and this one, excitement around President-elect Donald Trump’s inauguration that happened on Martin Luther King’s Day has notably influenced major cryptocurrencies.
His administration is expected to adopt a pro-crypto stance, with key appointments, like Paul Atkins and David Sacks, who have much support for the crypto industry. In addition to proposed executive orders to establish a national Bitcoin reserve and put a stop to debunking practices. All of these indicate a shift towards greater acceptance and integration of digital assets in the U.S. financial system.
Bitcoin’s Short-term Price Prediction
Our daily technical analysis predicts a bullish trend for Bitcoin, with the cryptocurrency already trading around $101,800, having recently fallen through the critical resistance level of $107,277 at the close of January 21 2025 to $100,000. The slight increase in today’s chart suggests a continuation of the upward trend that started after the U.S. inauguration of President Donald Trump.
BTC is now aiming for the next major resistance at $105,000. This level has been a formidable barrier in the past and could challenge further upward momentum. If BTC overcomes this resistance, it might aim for new all-time highs in the $110,000 to $115,000 range, driven by historical patterns and psychological levels.
On the downside, $100,000, which was a significant resistance before the breakout, now acts as a short-term support level. If BTC drops below this mark, the next support level is around $95,000, where the price consolidated before its recent rally. A more substantial decline could see Bitcoin testing crucial support at $90,000 again.
The bullish sentiment is reinforced by BTC’s current position above key moving averages, indicating a strong upward trend. Additionally, the surge in trading volume accompanying the breakout above $100,000 highlights significant buyer interest, further supporting the bullish case.
Bitcoin’s Long-term Price Prediction
Several factors are shaping Bitcoin’s price in 2025. Institutional adoption, regulatory developments, and technological innovation will determine whether Bitcoin continues its upward trajectory or faces hurdles in its mainstream acceptance.
Institutional participation in Bitcoin markets reached historic levels in 2024. Firms like BlackRock, BNY Mellon, and Fidelity integrated Bitcoin into their offerings. Spot Bitcoin ETFs provided regulated avenues for large capital pools, such as pension funds and retirement accounts, to gain exposure.
Bitcoin’s technological ecosystem continues to evolve, enhancing its scalability, privacy, and utility. "Layer 2" (L2) innovations like the Lightning Network enable near-instant transactions at negligible cost.
Newer L2 technologies like Ark and Fedimints will continue to mature, pushing forward Bitcoin’s viability as a medium of exchange. Upcoming advancements, such as privacy-enhancing features like Silent Payments and improved self-custody solutions, will make Bitcoin even more secure and accessible.
Additionally, Bitcoin-backed lending protocols are poised to unlock liquidity without requiring holders to give up custody of their assets. These developments will reinforce Bitcoin’s appeal as both a currency and a store of value.
Bitcoin analyst and X pundit Willy Woo is convinced that the adoption of Bitcoin is definitely going to follow the adoption curve of Internet during the early 2000s to date.
I just put together the numbers from every credible study over the last 16 years and ran a line through it.
— Willy Woo (@woonomic) January 8, 2025
If you understand this curve and the size of the addressable market you'll know why BTC outperforms every asset class on the planet. https://t.co/GT2xmHqsHT
Regulation played a defining role in Bitcoin’s 2024 success. The SEC approved multiple spot ETFs and clarified its stance on Bitcoin as a commodity.
These improvements bolstered investor confidence and fostered broader acceptance. And looking ahead, regulation could either propel Bitcoin to new heights or present obstacles.
In the long term, Bitcoin will overcome any roadblocks put in its way by regulators, lobbies, or financial institutions, because capital naturally flows into the hardest form of money available.
Thoughts on absolute scarcity? pic.twitter.com/Ceqr1sQGUa
— Wojak Bitcoin Memes (@wojakbitcoin) December 30, 2024
However, financial incumbents can slow the speed of adoption if they mount strong resistance to Bitcoin. Something that’s highly unlikely given a Trump administration in the United States.
Expert Price Predictions
Bullish predictions for Bitcoin's price in 2025 from posts on X suggest a significant upward trend. CNBC analyst Tom Lee’s target is $250,000. Matthew Sigel of VanEck forecasts $180,000.
These forecasts reflect strong belief in continued institutional adoption, the impact of Bitcoin ETFs, and the cyclical nature of Bitcoin's price movements post-halving. Mega-bulls like Cathie Wood and Michael Saylor expect multi-million dollar Bitcoin in the next few years, though not necessarily in 2025.
We are going to Mars. pic.twitter.com/5RrSxTAicv
— Michael Saylor⚡️ (@saylor) January 23, 2025
HODL Team
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