- Bitcoin is seen headed for a massive rally.
- Bernstein analysts predict it will hit $200,000 in the next year.
- Theyâre not alone in making bullish bets.
Unprecedented demand from institutional players will drive Bitcoinâs price to $200,000 in 2025, according to Bernstein analysts.
The estimate is an update from their previous predictions that the price of the worldâs largest cryptocurrency will reach $150,000 over the next year.
âBitcoin is in a new bull cycle,â Gautam Chhugani and Mahika Sapra wrote in a report this week, also suggesting that Bitcoin will hit $500,000 in 2029 and $1 million in 2033.
The key reason? The success of spot Bitcoin exchange-traded funds run by Wall Street giants like BlackRock and Fidelity.
Bernstein expects these funds to increase their assets under management by over 216% to $190 billion over the next year â eventually holding 15% of the total amount of Bitcoin by 2033.
âThe US regulated ETFs were the watershed moment for crypto that brought in structural demand from traditional pools of capital,â Chhugani and Sapra wrote.
Since their January approval, US spot Bitcoin ETFs have seen over $15 billion in inflows, according to data from SoSoValue.
Bitcoin has surged about 70% to $66,900 since their launch, reaching a new all-time high of $73,700 in March.
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The rally has moved Bitcoin bulls to predict the cryptocurrency will hit new milestones this year.
Mike Novogratz, founder and CEO of crypto investment firm Galaxy Digital, for instance, said itâs likely that Bitcoin will hit $100,000 by the end of the year.
VanEck head of digital assets research Matthew Sigel has told DL News that Bitcoin could reach $350,000 by 2030.
Other estimates see Bitcoin reach $500,000 over the next five years.
Crypto market movers
- Bitcoin is down 1.1% to $66,910 over the past 24 hours.
- Ethereum is up 0.4% to $3,510.
What weâre reading
Eric Johansson is DL Newsâ News Editor. Got a tip? Email at eric@dlnews.com.