Bernstein predicts a 159% growth in crypto market capitalization by 2025

According to analysts, the capitalization of bitcoin will reach $3 trillion at that

14.03.2024 - 12:15

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3 min

What’s new? Analysts at broker Bernstein said that “the crypto market is amidst unprecedented institutional adoption,” and against this backdrop, its capitalization could grow by 159% from current marks to reach $7,5 trillion by 2025. In turn, the volume of assets under the management of issuers of spot exchange-traded funds (ETFs) based on bitcoin could grow to $300 billion by the same time.

Material by CoinDesk

What else is known? Bernstein expects the market capitalization of bitcoin to grow to $3 trillion by 2025, Ethereum to 1,8 trillion, and the combined figure of other leading altcoins will rise to $1,4 trillion. In addition, analysts believe that spot ETFs based on Ethereum will be approved by the US securities regulator SEC in the next 12 months.

This prediction echoes the analysts’ previous statement that the BTC exchange rate will reach the $150 000 mark by mid-2025. There are currently 19 654 056 BTC in circulation, and issuance will slow after a halving at the end of April this year that cut the reward to miners for a mined block in half, to 3125 BTC.

In addition, a record daily inflow of funds into US spot BTC ETFs was recorded on March 12, totaling $1,05 billion. The record for the daily trading volume of fund shares was reached on March 5 ($10,39 billion).

Earlier, Bloomberg analysts Eric Balchunas and James Seyffart cut the probability of spot ETH ETF approval in May from 60% to 35%. “Yes if it doesn’t happen in May — it’s not happening in August,” writes Seyffart, “But i am def over 50% odds it happens in 2025.”

Coinbase urges the SEC to classify ETH ETF shares as exchange-traded commodity-based shares

The exchange also committed to enter into an agreement with CME to prevent manipulation of the ETH spot market

At the time of writing, the crypto market capitalization exceeds $2,902 trillion, with bitcoin holding a 49,55% share and Ethereum holding 16,59%. Also on this day, BTC hit an all-time high above $73 000, adding 8,9% for the week. ETH is trading 18% below the record set on November 9, 2021.

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