Emily Walker
A prominent crypto firm has predicted a significant rise in Bitcoin’s value next year, attributing this expectation to President-elect Donald Trump’s US Strategic Bitcoin Reserve proposal.
Blockware Solutions anticipates that Bitcoin could reach as high as $400,000 per coin in a bullish scenario if the proposed reserve is implemented. In a bearish outlook where this plan does not come to pass, the price may still reach $150,000.
Predicted Growth in 2025
Blockware Solutions forecasts that the Bitcoin price may soar between $150,000 and $400,000 next year, considering key economic and political influences on the cryptocurrency market.
The firm noted that the creation of a Strategic Bitcoin Reserve, along with Federal Reserve policies under the upcoming Trump administration and growing corporate acceptance of Bitcoin, could all significantly affect its price, emphasizing that it is likely to rise significantly from current levels.
According to their analysis, Bitcoin’s current price of $94,981 could potentially increase by over 300% to $400,000 in a bullish market; conversely, in a bearish scenario, it could still rise by 58% to $150,000.
BREAKING: New Blockware Intelligence Research Report
Last year we predicted Bitcoin would reach $100,000 this year.
We were accurate.
Here are our predictions for 2025:
– Bear: $150,000
– Base: $225,000
– Bull: $400,000Visit the link to read our complete analysis… pic.twitter.com/nEOo26iKrG
— Blockware (@BlockwareTeam) December 27, 2024
Previously, Blockware Solutions had projected Bitcoin would reach $100,000 by 2024, a forecast that proved correct. Now, they are confident about Bitcoin’s appreciation in 2025, although the extent of the rise will depend on ongoing economic and political developments.
Potential Outcomes
Blockware Solutions outlined three possible outcomes for Bitcoin’s price next year.
In a pessimistic scenario, the company suggests Bitcoin could climb by 58% to $150,000 if the new administration fails to implement the Strategic Bitcoin Reserve.
They noted that additional bearish factors could include a reversal in the Federal Reserve’s plans for rate cuts and a potential increase in selling activity from long-term Bitcoin holders.
In a moderate, or base, scenario, Blockware predicts Bitcoin could increase by 137% to around $225,000 if US Bitcoin holdings were converted into the Strategic Bitcoin Reserve.
$20 Billion in Bitcoin Holdings
The US government is reportedly one of the largest Bitcoin holders, with over 200,000 coins valued at around $20 billion.
Blockware mentioned that the Federal Reserve’s anticipated interest rate reductions and continued corporate adoption of Bitcoin are critical factors in this scenario.
In the most optimistic view or a bullish scenario, the forecast predicts Bitcoin could climb dramatically to $400,000, representing a 320% increase from current values.
This bullish outlook suggests that the US would not just implement the Strategic Bitcoin Reserve but also actively accumulate more Bitcoins, along with a dovish stance from the Federal Reserve as inflation indicators fall and increased adoption by corporations.
Featured image from TechCrunch, chart from TradingView