In a recent research note, Steno Research has made some remarkable predictions for the cryptocurrency market in 2025. According to the analysts, this year will be the best ever for cryptocurrencies, with both Bitcoin (BTC) and Ether (ETH) expected to crush all-time highs. The report highlights several factors that contribute to their optimism, including a favorable regulatory environment, supportive macroeconomic climate, and strong post-halving performance.
BTC and ETH Price Projections
The bullish price projections for BTC and ETH reflect the analysts’ confidence in the cryptocurrency market’s growth potential. Steno Research predicts that:
- BTC’s spot price will surpass $150,000: This is a significant increase from the current price, indicating a strong upward trend.
- ETH’s spot price will reach $8,000: Similarly, this projection suggests a substantial rise in ETH’s value.
Altcoin Season and Institutional Adoption
The analysts are also optimistic about an imminent altcoin season, which is expected to be driven by institutional adoption. Steno expects the following:
- Net inflows into U.S.-based Bitcoin and Ethereum ETFs: The report predicts that these ETFs will see significant inflows in 2025, with BTC and ETH exchange-traded funds (ETFs) expected to receive $48 billion and $28.5 billion, respectively.
- Increased altcoin activity: With the rise of institutional adoption, alternative cryptocurrencies are likely to experience increased trading volume and market capitalization.
ETH’s Strong Performance
Steno Research expects ETH to perform especially well in 2025, with a strong potential for growth. The analysts predict that:
- The ETH/BTC ratio will hit at least 0.06: This is nearly double the current level of around 0.035, indicating a significant increase in ETH’s value relative to BTC.
- Bitcoin dominance will drop: As alternative cryptocurrencies gain traction, Bitcoin’s market share is expected to decrease from its current levels of nearly 57% to around 45%.
Total Value Locked (TVL) in DeFi Protocols
The report also highlights the growth potential of decentralized applications (DeFi). Steno Research predicts that:
- The total value locked on DeFi protocols will reach $300 billion: This is a significant increase from 2021’s highs of approximately $180 billion, indicating strong adoption and growth in the DeFi space.
Trump Pump
Steno’s prediction is partly based on the argument that Donald Trump’s U.S. presidential victory is more favorable for altcoins than for Bitcoin. The analysts suggest that:
- Trump’s presidency encourages robust onchain activity: This, in turn, benefits altcoins such as Ethereum and Solana significantly.
Similar Optimism from Other Analysts
Others, including asset manager Grayscale, share similar optimism about the cryptocurrency market’s growth potential. In December, Grayscale added several DeFi applications, including two on Solana, to its list of top 20 tokens to watch in Q1 2025. The analysts cited a warming US policy environment as a key factor.
Conclusion
The predictions made by Steno Research suggest that 2025 will be an exciting year for the cryptocurrency market. With expected price surges for BTC and ETH, increased institutional adoption, and a strong altcoin season, investors should be prepared for significant growth opportunities.
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