Bitcoin Could Surge 120% by 2025, Analysis Shows

Bitcoin has maintained its position above the $100,000 mark despite recent market volatility. The long-term outlook for Bitcoin suggests a significant rally, with the potential for the asset to reach four times its current price if historical trends continue. Analysis from CryptoQuant indicates that 2025 could be a bullish year for Bitcoin, marking the third year of the current cycle and potentially resulting in a 120% gain, reaching $205,097 by the end of this phase. This analysis focuses on long-term price movements and Bitcoin's overall performance to project market conditions.

Historical price trends suggest an even larger move may be in store. Bitcoin's performance following the May 2020 halving has been used to forecast potential market direction for the current cycle. Since the 2020 halving, Bitcoin has posted a total gain of 750% over four years, with its price reaching $69,000. If the current trend continues, another 750% rally may unfold, with price projections indicating Bitcoin could climb as high as $466,257. This analysis, conducted on a 9-timeframe chart, used the Relative Strength Index (RSI) to explore how the rally might play out. The study revealed that the 2020 post-halving rally didn’t fully begin until Bitcoin’s RSI crossed into the overbought region and trended higher. This region signals that an asset is overbought and may soon correct. After this phase, prices often stabilize at levels higher than the point where the overbought trend began. At press time, the asset has yet to cross into this RSI region, as it traded below the 70-mark. A move above this level could trigger a strong rally, pushing the asset well above its current range.

Another key factor in Bitcoin’s long-term performance is liquidity flow in and out of Bitcoin Spot Exchange-traded Funds (ETFs). As of this writing, these funds hold a combined $131.16 billion in assets under management. If this number continues to rise, it suggests that traditional investors are increasingly allocating capital to the asset, further supporting its price performance.