Global asset manager VanEck has projected bitcoin (BTC) to soar to $180,000 and ETH to surpass $6,000 by the end of 2025, citing rising institutional adoption and regulatory advancements.
In a Friday blog post, VanEck’s head of digital asset research Matthew Siegel and senior investment analyst Patrick Bush highlighted that the crypto bull market is expected to peak in the first quarter of 2025. Despite forecasting a healthy retracement in the crypto market during the summer, they anticipate BTC will recover and achieve new all-time highs before the end of 2025.
Bitcoin and Ether price predictions
VanEck forecasts significant gains across the crypto market, projecting Ether (ETH) to surpass $6,000, Solana (SOL) to exceed $500, and Sui (SUI) to trade above $10. However, the asset manager cautions that altcoins could experience sharper corrections, with potential declines of about 60% during market consolidation.
The asset manager wrote: “We believe the crypto bull market will persist through 2025, reaching its first peak in the first quarter. At the cycle’s apex, we project Bitcoin (BTC) to be valued at around $180,000, with Ethereum (ETH) trading above $6,000. Other prominent projects, such as Solana (SOL) and Sui (SUI), could exceed $500 and $10, respectively.
Moreover, VanEck expects a 30% retracement in BTC and up to 60% for altcoins following the projected first peak. “However, a recovery is likely in the fall, with major tokens regaining momentum and reclaiming previous all-time highs by the end of the year,” it added.
The blog post also pointed to sustained funding rates above 10% on bitcoin perpetual futures as a signal of speculative excess, indicating a possible local market top.
VanEck’s optimism extends beyond 2025, with long-term projections, suggesting BTC could reach $2.9 million per coin by 2050 and ETH could trade as high as $22,000 by 2030.
Potential market drivers in 2025
Several factors are expected to drive the crypto market in 2025. These include regulatory advancements, institutional adoption, and macroeconomic trends. VanEck predicts the U.S. government may adopt BTC as a strategic reserve asset and that the Securities and Exchange Commission (SEC) may approve multiple crypto exchange-traded products (ETPs).
“We predict that by 2025, either the federal government or at least one U.S. state—likely Pennsylvania, Florida, or Texas—will establish a Bitcoin reserve,” part of the post read. “New SEC leadership, or possibly the CFTC, will approve multiple new spot crypto exchange-traded products (ETPs) in the U.S., including the VanEck Solana offering,” VanEck noted. These approvals could accelerate institutional interest, providing fresh momentum to the crypto market.
Related: Solana ETFs launch in 2025— VanEck and Bitwise execs weigh in
Ryan Lee, chief analyst at Bitget Research, echoes these sentiments, highlighting that historical trends suggest BTC often experiences a 30% correction before reaching its cyclical peak. He also noted potential macroeconomic influences, such as U.S. markets correcting after a presidential inauguration, which could affect crypto prices.
Rising institutional adoption and market maturity
Institutional interest in crypto assets has rapidly grown, with Microstrategy being the largest-known institutional holder of BTC. BlackRock, the world’s largest asset manager, recently recommended that investors consider allocating up to 2% of their portfolios to BTC. Similarly, Sygnum Bank, a crypto-focused asset manager, has suggested that institutional adoption could trigger demand shocks soon, potentially pushing BTC higher.
The approval of more crypto ETFs, combined with the inclusion of staking and in-kind transactions, is expected to make crypto assets more accessible to traditional investors, further driving market growth.
VanEck’s bold bitcoin and Ether price predictions indicate growing confidence in the crypto market’s growth and long-term potential. While short-term corrections may occur, institutions’ expanding adoption of digital assets and favourable regulatory developments could set the stage for a historic bull run.
Related: How the 2024 U.S. presidential election could impact the crypto industry
Investors, however, should remain cautious of market volatility and speculative behaviour, as highlighted by VanEck’s warnings of sharp retracements and speculative excess during the market cycle.
About Author
