Bitcoin continues its bullish momentum, with experts predicting even higher valuations in the coming years. Currently trading at $91,200 as of November 14, 2024, Bitcoin has gained 115% year-to-date, outperforming traditional assets like the Dow Jones, Nasdaq 100, and the S&P 500 indices.
Matthew Sigel, head of digital assets at VanEck, believes this rally is just the beginning. In a recent interview with CNBC, Sigel predicted that Bitcoin could hit $180,000 by 2025, supported by several bullish factors, including political shifts in the U.S. and strong market indicators.
Pro-Crypto U.S. Administration Boosts Bitcoin Sentiment
The recent U.S. election results have added a pro-crypto narrative to Bitcoin’s bullish run. Donald Trump, the first openly pro-crypto president, has appointed several like-minded officials, such as Matt Gaetz, JD Vance, Vivek Ramaswamy, Elon Musk, and Tulsi Gabbard.
This political shift, combined with pro-crypto sentiments among newly elected members of the House of Representatives, has created a favorable environment for digital assets. Analysts believe this could lead to regulatory clarity and policies that further support Bitcoin’s growth.
VanEck’s Bullish Indicators
Sigel highlighted that several key indicators tracked by VanEck remain bullish. These include:
- Technical Breakouts: Bitcoin recently broke past the critical resistance level of $73,777, the previous all-time high, signaling more upside potential.
- Golden Cross Formation: Bitcoin’s price chart has formed a golden cross, where the 50-day moving average crosses above the 200-day moving average, a historically bullish signal.
- MVRV Ratio: The Market Value to Realized Value (MVRV) ratio has risen to 2.7. While sell signals typically occur around 3.5, the current value suggests room for further price appreciation.
These metrics, combined with the momentum following the U.S. elections, suggest Bitcoin is poised for repeated all-time highs in the coming quarters.
Short-Term Predictions: $100,000 in Sight
The next significant milestone for Bitcoin is $100,000, a target that analysts believe could be achieved soon. A Polymarket poll, backed by over $724,000 in assets, estimates a 56% chance of Bitcoin hitting this mark within the month.
Bitcoin’s daily chart supports this outlook:
- It has crossed the neckline of an inverse head and shoulders pattern, a strong bullish technical indicator.
- The path of least resistance appears upward unless Bitcoin falls below the key support level of $85,000.
If these trends continue, Bitcoin could break through the psychological $100,000 level and set new records.
Cautious Optimism: Contrarian Views
Despite the bullish sentiment, not all analysts are convinced the rally will continue unabated. Ali, a trader with over 81,000 followers on X, flagged a potential short-term pullback based on the TD Sequential indicator, which has flashed a sell signal on Bitcoin’s daily chart.
Similarly, CryptoQuant’s Ki Young Ju warned that the perpetual market is currently overleveraged, which increases the risk of a sharp retracement. Such concerns underline the volatility inherent in the crypto market, even during bull runs.
Long-Term Outlook: $180,000 by 2025
While short-term volatility is expected, the broader picture for Bitcoin remains overwhelmingly positive. Sigel’s base case for 2025 is a Bitcoin price of $180,000, nearly double its current value. This projection is based on:
- Increased institutional adoption of Bitcoin as a digital gold alternative.
- The positive impact of regulatory clarity under the new U.S. administration.
- Strong market demand for Bitcoin, as evidenced by recent price action and bullish indicators.
Conclusion
Bitcoin’s remarkable rally in 2024 is just the beginning, according to VanEck’s Matthew Sigel. With strong technical signals, pro-crypto political support, and growing market confidence, Bitcoin’s price could climb to $180,000 by 2025.
In the near term, $100,000 remains the critical psychological barrier, and the current market momentum suggests it could be achieved soon. However, as always in crypto, investors should stay cautious and prepare for potential volatility on the path to higher valuations.