Trump card for bitcoin: 2025’s super cycle sparks crypto buzz
Crypto analysts are buzzing with excitement at the prospect of a bitcoin “super cycle” in 2025, as Donald Trump‘s return to the US Presidency brings a pro-crypto windfall. His administration’s staunch support for Bitcoin is injecting new life into the market, with enthusiasts riding high on optimism.
Bitcoin recently dipped from its late-2024 peak amid profit-taking and cautious interest rate movements. However, the crew at Bitkub, a leading crypto exchange, is filled with optimism, crediting Trump’s pro-crypto policies for keeping market spirits high.
Last year, bitcoin soared by a staggering 145%, hitting an all-time high of US$108,350 in December. This explosive growth has set the stage for potential further gains in 2025.
Key driving forces include savvy policies from Trump’s administration, changing US monetary strategies, and the burgeoning interest in bitcoin exchange-traded funds (ETFs).
Bitkub’s experts chimed in, saying, “2025 is shaping up to be a turning point for bitcoin and the wider cryptocurrency market. Trump’s presidency and his favoured policies could pave the way for sustainable growth.”
Outlining ambitious plans, Trump’s team is gearing up to position the US as a crypto powerhouse. The proposed Bitcoin Act is a bold move, suggesting the US purchase 200,000 BTC annually over a five-year horizon. But Federal Reserve Chairman Jerome Powell hinted at hurdles, noting congressional approval and existing frameworks might not align with such grandiose plans.
The Fed’s December projections reveal a slower-than-anticipated interest rate reduction, with forecasts lowering rates to 3.9% by the end of 2025. This gradual easing might put pressure on high-risk assets, including both stocks and cryptocurrencies.
Analysts at Bitkub caution against this snail-paced monetary loosening, suggesting it could dampen crypto market enthusiasm unless the Fed takes bolder steps.
Spot bitcoin ETFs remain a hot-ticket item for institutional investors, amassing over 1.13 million BTC by the end of 2024, representing a colossal 73.6% surge from the previous year. Despite strong flows, the recent price bump initiated some profit-taking.
Bitkub stresses that institutional behaviour will be pivotal in determining market stability and sentiment throughout 2025.
“Market fortunes will largely hinge on the Fed’s moves and institutional muscle.”
A faster monetary rollback could fuel momentum, while a hesitant approach might stifle it.
Bitcoin, the market’s north star, was seen trading around US$95,000 as of yesterday, January 14, boasting a hefty 121% return over the past year. While the optimism is palpable, Bitkub warns of global uncertainties and the need for vigilant market navigation.
For those dabbling in crypto in 2025, the landscape is rife with potential, but one must tread carefully. After all, this could be a year where fortunes are made, or lost, in the blink of an eye.
Latest Thailand News
