Bitwise CIO Predicts Bitcoin to Surpass $200,000 by 2025

Matt Hougan, the Chief Investment Officer at Bitwise, has expressed his bullish outlook on Bitcoin, predicting that the cryptocurrency could surpass $200,000 by the end of 2025. This optimistic forecast is driven by a combination of tightening supply and increasing institutional demand. Hougan noted that the amount of Bitcoin held on exchanges is at its lowest in years, indicating a significant reduction in selling pressure. Concurrently, there has been a surge in inflows from various sources, including ETFs, corporations, and even governments, which is contributing to the upward momentum of Bitcoin's price.

Hougan's analysis highlights an imbalance in the market, where the supply of Bitcoin is shrinking while demand is growing. This dynamic is occurring at a time when confidence in traditional fiat currencies is waning. Hougan believes this combination could trigger a major rally in the final quarter of 2025. He argues that this trend reflects a broader shift in how investors and institutions perceive Bitcoin, viewing it more as a reliable store of value rather than a speculative asset.

Looking beyond this year, Hougan envisions Bitcoin’s market capitalization eventually reaching parity with gold. Bitwise had previously estimated this milestone at around $800,000 per Bitcoin, but with gold’s continued climb, that figure may now be closer to $1.2 million. Hougan sees this as a realistic long-term target, given Bitcoin's historical pattern of cyclical growth through the rest of the decade. While acknowledging that factors such as regulation, macroeconomic conditions, and adoption rates could influence the outcome, Hougan maintains that Bitcoin is steadily gaining credibility as digital gold and its path toward broader institutional acceptance is accelerating.