Digital asset and blockchain company Galaxy Research, led by Alex Thorn, has unveiled an exciting forecast for 2025, showcasing anticipated price movements and regulatory transformations within major cryptocurrencies like Bitcoin (BTC), Ether (ETH), and Dogecoin (DOGE).
Bitcoin: Aiming for $185,000 by Year-End 2025
Galaxy Research estimates that Bitcoin will surpass $150,000 in the first half of 2025 and could reach an impressive $185,000 by the year’s conclusion. This optimistic perspective is fueled by the expanding adoption among institutions, corporations, and even nation-states. Historically, Bitcoin has significantly outperformed traditional assets like the S&P 500 and gold, a trend that seems set to continue as it captures nearly 20% of gold’s market cap.
In related insights, the report indicates that US spot Bitcoin exchange-traded products (ETPs) are likely to exceed $250 billion in assets under management (AUM) by 2025. With $36 billion in net inflows recorded in 2024, these ETPs have become the most successful cohort ever, winning over major hedge funds and institutional investors. As Bitcoin strengthens its position as a vital asset, Galaxy Research predicts at least one notable wealth management platform will advocate for a 2% allocation in Bitcoin. This shift should further bolster inflows into Bitcoin ETPs, leading to even higher AUM.
The report also highlights the potential for reaching a consensus among Bitcoin developers on crucial protocol upgrades, which have historically been challenging to achieve. These enhancements are expected to advance transaction programmability.
Dogecoin: Set for a Comeback
Ethereum is anticipated to trade above $5,500 in 2025, spurred by relaxed regulatory conditions on decentralized finance (DeFi) and escalating institutional interest. Galaxy Research expects Ethereum staking rates to exceed 50%, with spot-based ETH ETPs possibly allowed to stake a portion of their ETH holdings.
The DeFi landscape on Bitcoin is also forecasted to expand significantly. The volume of Bitcoin locked in DeFi smart contracts could nearly double by 2025.
Turning to Dogecoin, the report predicts that it may achieve a market cap of $100 billion, potentially surpassing the $1 mark as the market reacts to broader trends, including institutional adoption and evolving regulatory measures that may affect the future of meme-based cryptocurrencies.
In terms of regulation, Galaxy Research foresees bipartisan legislation regarding stablecoin issuance becoming law by the end of 2025, establishing a clear framework for issuers.
At present, Bitcoin is trading at $94,648, showing a slight 1% loss over the last 24 hours. In contrast, Ethereum stands at $3,359, reflecting a 1% increase during the same timeframe, and Dogecoin is priced at $0.314, experiencing modest gains of 0.5% in this period.
The insights from Galaxy Research paint an optimistic picture for 2025, hinting at significant advancements and opportunities in the crypto markets. Investors, whether seasoned or new, may want to keep a close eye on these projections as they prepare for the dynamic landscape ahead.
