The price of Bitcoin appears to have finally started to recover strongly in recent days, breaking through the $100,000 ceiling on Thursday, January 16. The top cryptocurrency didn’t stay above that level for more than a day the last time it topped the six-figure mark. assessment.
However, the price of Bitcoin this time returned to $105,000, its highest level so far in 2025. Interestingly, it seems that this could only be the start of an even bigger rise in the price of the Bitcoin over the next 12 months. .
Is 2025 the peak year for Bitcoin price?
In its latest weekly report, blockchain intelligence firm CryptoQuant revealed its target for Bitcoin’s price in 2025. The on-chain analytics platform sheds light on the flagship cryptocurrency’s potential trajectory over the course of the year.
CryptoQuant predicts that the price of Bitcoin will reach $249,000 – or at least $145,000 – in the new year. This represents a positive annual performance of between 45% and 150% for the world’s largest cryptocurrency.
Market intelligence expects Bitcoin price rise to be catalyzed by institutional capital flows, amid a favorable regulatory environment, accommodative monetary policy in the United States, and historical cyclical patterns .
For example, the impending inauguration and administration of pro-crypto Donald Trump is expected to see pro-crypto regulators take office and implement positive executive actions. Therefore, CryptoQuant predicts an increase in demand for Bitcoin when President Trump returns to the Oval Office.
Source: CryptoQuant
Additionally, optimistic macroeconomic conditions are also expected to play an important role in Bitcoin price performance in 2025. “Planned interest rate cuts by the Federal Reserve could create a favorable environment for capital to flow into high-value assets. risk like Bitcoin,” the report said. .
Additionally, 2025 is the final year of Bitcoin’s 4-year cycle, which has historically been correlated with significant price increases. Bitcoin price reached a new all-time high of over $67,000 in the final year of the previous cycle.
While this historical perspective suggests that the market leader could reach a new all-time high price this year, it also signals the likelihood of a Bitcoin price peak in 2025. As of this writing, the Bitcoin price is student at around 104,450, reflecting an increase above 104,450. Increase of 4% over the last day.
How much capital will be invested in Bitcoin in 2025?
According to CryptoQuant, around $520 billion could be invested in the flagship cryptocurrency this year, particularly given favorable regulatory, monetary and cyclical conditions. This projection was calculated based on the realized capitalization metric, which is the total value (in US dollars) of each Bitcoin during its last move on the chain.
CryptoQuant noted:
In total, $86 billion was invested in Bitcoin from 2015 to 2018, then $384 billion from 2019 to 2021 and $440 billion from the end of 2022 to 2025. The realized ceiling is increasing particularly quickly over the last year of each Bitcoin cycle, 2017 and 2021., suggesting that Bitcoin could see a similar influx of capital in 2025.
The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView
Featured image created by DALL-E, chart by TradingView
