The price decline in December was partly caused by holiday-driven market illiquidity, but bitcoin experts are predicting a recovery surge soon. Trading at a 10% loss, Bitcoin has surpassed its previous all-time high of $108,300 on December 17. The first cryptocurrency was trading at a price below $100,000 on December 19th.
Bitcoin May Reach $105K in January
Despite weak momentum, Bitfinex analysts expect Bitcoin to reach $105,000 in January. We expect Bitcoin markets to vary as investors diversify. Bitfinex analysts estimate Bitcoin’s value to be $95,000–$110,000 by January. The inauguration of Donald Trump as the 45th US president on January 20 may boost cryptocurrency prices. People in the US expect the next administration to adopt crypto-friendly economic policies and laws.
Bitcoin Could Reach $200K by 2025
While the next president should provide more clarity on crypto rules, we are not anticipating a price hike. Rather, we consider it a stepping stone toward a less-restricted crypto route in the United States. The inauguration might not immediately cause a crypto spike, according to a Bitfinex expert.
According to experts, Bitcoin is expected to reach a new high of $200,000 in 2025, following the record-breaking expansion of US spot Bitcoin ETFs to $110 billion in assets under management. During the recovery, trading needs to pick up speed. Despite the advantages, the price of Bitcoin is limited by the holiday illiquidity.
Trading Volume Determines Bitcoin Recovery
Returning to six digits requires increased trading volume for Bitcoin. Trade volume is insufficient for a robust impulse. On January 4, Adler wrote on X, “We’re waiting for the market to recover from the holidays.”On January 3, the daily volume of Bitcoin trading was $66.7 million.
A precipitous decline of 91% from its $743 million volume on December 5, when it surpassed $100,000. BTC Analysts Predict, Because investors are taking more risks to improve US financial policies, economists predict that Bitcoin will cost between $160,000 and $200,000 in 2025.