Bitcoin News Today: Institutional Demand Powers Bitcoin's $180K 2025 Outlook

VanEck, a leading asset manager, has reaffirmed its year-end 2025 price target of $180,000 for Bitcoin, citing strong institutional demand and resilient market fundamentals. In its latest ChainCheck report covering mid-August 2025, the firm outlined a favorable landscape for Bitcoin, driven by continued inflows into U.S. spot Bitcoin exchange-traded funds (ETFs) and growing corporate adoption. The report highlighted that U.S. spot Bitcoin ETFs had recorded $54.97 billion in net inflows, with a combined $151.9 billion in assets under management as of mid-August, reinforcing long-term confidence in the asset class. Additionally, 294 entities, including MicroStrategy, now hold more than 3.67 million BTC in corporate treasuries, signaling a shift in institutional investment strategies toward digital assets [1].

Bitcoin’s on-chain metrics also support VanEck’s bullish outlook. As of mid-August 2025, 92% of on-chain Bitcoin holdings remained in profit, despite a recent pullback from its record high of $124,457, which was reached on August 14. The price had since fallen to $115,339, a 7.33% decline from its peak, but the widespread profitability of existing holdings has helped buffer the market against sharp corrections [1]. The firm also noted that Bitcoin’s market dominance had dipped slightly to 59.7% from 64.5% in early July, primarily due to increased institutional interest in Ethereum. However, it emphasized that Bitcoin’s institutional backing has kept volatility relatively low, even as Ordinals activity declined [1].

The mining sector continues to show strength, with Bitcoin’s hashrate reaching an all-time high of 902 exahashes per second in August 2025. Revenue per exahash hit $59.40, the highest since December 2024, as U.S. miners expanded their operations and captured a record 31.5% of the global hashrate. VanEck also noted TeraWulf’s strategic move to diversify its operations by partnering with Fluidstack to host 200 megawatts of artificial intelligence computing power, with Google taking an 8% stake via warrants [1]. These developments underscore the growing integration of Bitcoin mining with emerging technology infrastructure, potentially boosting operational efficiencies.

Despite its optimism, VanEck acknowledged potential risks, including the possibility of prolonged low volatility, which could limit the ability of corporate treasuries to raise capital for further Bitcoin purchases. The firm also highlighted that a surge in large outstanding options positions could amplify price swings through dealer hedging. Additionally, the mNAV (modified net asset value) of Digital Asset Treasuries (DATs) has been under pressure due to subdued volatility, with MicroStrategy’s mNAV declining by 16% in July 2025. If the low-volatility environment persists, further mNAV compression could become a concern for DAT investors [1].

VanEck’s updated forecast builds on its previous prediction from December 2024, which projected a $180,000 price target for Bitcoin by the first quarter of 2025. While the market has not yet reached that level, the firm argues that the current price environment, combined with robust ETF inflows, expanding corporate adoption, and a resilient mining sector, makes the $180,000 target achievable by year-end 2025. With Bitcoin approaching a key technical level and institutional interest continuing to grow, the report concludes that the digital asset remains a compelling long-term investment [1].

Source: [1] VanEck Maintains $180000 Year-End Target for Bitcoin (https://thecryptobasic.com/2025/08/19/vaneck-maintains-180000-year-end-target-for-bitcoin/)