Bitcoin Surges 0.8% as Bitwise Predicts $200,000 by 2025

Bitcoin is currently trading at $107,568, up 0.8% in the last 24 hours. Bitwise, a prominent cryptocurrency asset management firm, has reaffirmed its prediction that Bitcoin will reach $200,000 by the end of 2025. This forecast is based on three key drivers: post-halving supply tightening, institutional adoption, and growing regulatory clarity.

Bitwise's chief investment officer, Matt Hougan, highlighted that spot Bitcoin ETFs have already transformed the market by attracting mainstream capital. Institutions are increasingly allocating Bitcoin as a reserve asset, and regulated access has boosted confidence in the market. Bitwise believes that this institutional demand is structural and will continue to support the price of Bitcoin.

Bitcoin's 21 million hard cap and its perceived role as an inflation hedge make it a standout in a volatile macro environment. The key drivers for Bitcoin's potential growth include institutional entry through ETF inflows, supply constraints due to halving, and regulatory progress that brings cautious capital off the sidelines.

While Bitcoin is looking up, Ethereum and Solana are facing headwinds. Ethereum's high gas fees, congestion, and uncertainty over its status as a security are weighing on its performance. Despite its role in DeFi and NFTs, Ethereum has yet to show post-Merge resilience that matches investor expectations. Solana, once touted as an “Ethereum killer,” is dealing with reliability issues and validator centralization questions. Network outages have eroded confidence, even as its fast transactions and low fees are appealing. Bitwise is cautious on both altcoins for 2025, suggesting that while stablecoin growth and ETF approvals could eventually turn sentiment around, they do not expect Ethereum or Solana to make new all-time highs in the near term.

On the chart, Bitcoin’s bounce from the 61.8% Fibonacci retracement at $103,270 is a continuation of the bullish trend. The price is now testing resistance at $107,832 with a breakout to $108,957 and $110,448. The 50-period EMA ($106,993) is acting as support, the MACD histogram is positive, and there is a bullish engulfing near support. For traders, a long position above $107,832 with a stop below $105,400 and a target of $108,957 to $110,448 is recommended.

Bitwise’s $200,000 Bitcoin price prediction is shaping up to be a compelling narrative for the next leg higher. While Ethereum and Solana continue to face network and regulatory challenges, Bitcoin stands out as the strongest institutional-grade digital asset heading into 2025. Volatility will persist, but with tightening supply, rising institutional demand, and growing ETF inflows, the fundamentals and momentum remain firmly on Bitcoin’s side.