In a recent social media post, market expert VirtualBacon shared seven key predictions that could shape the cryptocurrency landscape in 2025. Central to these predictions is the assertion that Ethereum (ETH) to surpass Bitcoin (BTC) in terms of performance, even as Bitcoin still holds a leading position in the market.
Expert predicts new crypto bull run in 2025
With Bitcoin approaching the substantial $100,000 mark again after a sharp correction over the past weeks and altcoin exchange traded funds (ETFs) on the horizon, the expert believes that the current crypto bull run is only just beginning.
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VirtualBacon raises an interesting question: Will 2025 be the year when cryptocurrencies break all previous records? The expectation of possible market movements is visible, especially with the idea that is inspired by the recent Bitcoin price increase and the introduction of altcoin ETFs.
The expert reflects on the previous year's predictions, noting that Bitcoin reached $80,000, that crypto gaming gained traction, and that Trump's return to the political scene sent a huge boost on the movement of the market.
Looking forward, VirtualBacon predict a longer, slower-expanding bull cycle that could extend into the fourth quarter of 2025. This forecast underpins the Federal Reserve's cautious approach to liquidity, which is expected to reduce risks from sudden market crashes.
The likelihood of a recession is expected to drop to 33%, indicating a period of relative stability. Bitcoin's dominance, largely driven by institutional demand, is expected to rise with spot ETFs already holds about 5% of Bitcoin supply.
While altcoins may weaken at first, VirtualBacon says this “slower cycle” is seen as a “blessing,” giving the market plenty of time to grow and mature.
Will Ethereum outperform Bitcoin this year?
One of the biggest factors that will affect the crypto market in 2025 is expected to be a massive injection of liquidity. The US debt crisis is likely to force the Federal Reserve to implement quantitative easing, thereby expanding its balance sheet and flooding markets with money.
In addition, the revaluation of gold – which could change from $ 42 per ounce to about $ 2,000 – could create even more. liquidity in the system. Such conditions usually lead to inflation, which is historically associated with increases in asset prices, suggesting that cryptocurrencies could thrive in this environment.
However, despite these optimistic predictions, VirtualBacon casts doubt on the likelihood that the US Bitcoin Reserve Act will pass in 2025. The US Treasury's proposal for a million Bitcoin is facing significant obstacles get over five years, especially in getting taxpayer support for such a majority. expenditure.
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In terms of regulation, VirtualBacon anticipates that pro-crypto legislation could favor altcoins, especially through the proposed Fit for the 21st Century Act.
This legislation could provide a clearer regulatory framework for cryptocurrencies, specifying decentralized signals such as Layer-1 blockchains as products under the Commodity Futures Trading Commission (CFTC), while less decentralized funds would fall under the Securities and Exchange Commission (SEC).
With Paul Atkins, a pro-crypto advocate, potentially leading the SEC, major cryptocurrencies can thrive, although smaller startups may have challenges navigating the form- new land, according to the expert.
The prediction that altcoin ETFs will gain traction is another interesting prospect for 2025. VirtualBacon expects the emergence of ETFs for cryptocurrencies such as Litecoin, HBAR, XRP, and Solana, driven by their unique standards and pending legal proceedings.
With Ethereum ETFs already pulling institutional interesta similar pattern could emerge for these altcoins, accelerating institutional adoption in the crypto market.
Perhaps the most interesting prediction is that Ethereum could outperform Bitcoin, possibly doubling Bitcoin's output in 2025.
With institutional investors increasingly favoring ETH over BTC in recent months, coupled with historical performance trends favoring Ethereum in the first half of the year, the rate is set for significant growth in eco- Ethereum system.
VirtualBacon estimates year-end prices of around $200,000 for Bitcoin and $14,000 for Ethereum, presenting “ambitious but potentially feasible targets” given the anticipated influx of liquidity and institutional support.
As of this writing, BTC is trading at $95,840, registering gains of over 4% in the 24-hour time frame. Similarly, ETH is trading at $3,200, recording even higher gains of nearly 6% in the same time frame.
Featured image from DALL-E, chart from TradingView.com
