Bitcoin price prediction 2025, as the cryptocurrency market continues to evolve, Bitcoin remains at the forefront, drawing significant attention from investors, analysts, and enthusiasts alike.
Bitcoin may soon reach its next historic peak. According to Standard Chartered analyst Geoff Kendrick, the world’s largest cryptocurrency is poised to surpass its record of approximately $109,000 next week, with prices potentially hitting $130,000 between February and March.
Following Trump’s inauguration, cryptocurrency prices experienced fluctuations as investors anticipated a series of crypto-friendly announcements. However, overly bullish market sentiment led Kendrick to warn of an impending correction. Although Trump signed a cryptocurrency executive order last week, Kendrick believes it fell short of industry expectations.
Kendrick, the head of global digital asset research at Standard Chartered, noted that with the executive order now in place and the Federal Reserve maintaining stable interest rates, the uncertainty hampering cryptocurrency gains has diminished.
Even a significant drop in the stock market on Monday provided a glimmer of hope for Bitcoin, clearing the way for its price increase. A Chinese startup announced a cost-effective AI tool, leading to a sell-off in U.S. tech stocks. This resulted in the liquidation of $1.1 billion in Bitcoin long positions on futures exchanges, yet the cryptocurrency market largely withstood the pressure.
“Thus, market positioning is clearer now. If lower-cost AI tools marginally reduce inflation, risk assets unrelated to AI, like Bitcoin, should benefit,” Kendrick stated.
Despite disappointment over Trump’s executive order not establishing a national Bitcoin reserve, other countries may be moving ahead. According to the Financial Times, if the plan proposed by Czech National Bank Governor Aleš Michl is approved, the Czech central bank may convert 5% of its €140 billion forex reserves into Bitcoin.
“At current prices, the Czech central bank would hold 69,000 Bitcoins. The country with the largest known Bitcoin holdings is El Salvador, which holds 6,049,” Kendrick calculated.
He also mentioned that the Swiss National Bank appears to be moving towards embracing Bitcoin, with activists in Switzerland collecting signatures for a vote on the matter. Kendrick noted that while this initiative may take time, it is significant—Switzerland's forex reserves are six times larger than those of the Czech Republic.
Optimistic cryptocurrency enthusiasts predict that establishing a Bitcoin reserve in the U.S. could inspire other nations to create their own reserves, significantly boosting Bitcoin’s price. Although Trump has yet to take definitive action, his executive order has created space for a potential “reserve,” meaning the U.S. may retain its existing 207,000 Bitcoins.
Meanwhile, the U.S. Securities and Exchange Commission (SEC) has rescinded Staff Accounting Bulletin 121 (SAB 121), which could bolster institutional demand for digital assets. This unpopular rule effectively prevented U.S. lenders from acting as cryptocurrency custodians.
Kendrick sees institutional purchasing as a potential catalyst for Bitcoin’s positive outlook, with a year-end price target of $200,000 for the cryptocurrency.
When considering shares, indices, forex (foreign exchange) and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.
Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice. Trading cryptocurrency CFDs and spread bets is restricted for all UK retail clients.
