Bernstein’s bold projection suggests that Bitcoin is on track to hit the $100,000 mark imminently, with a staggering $200,000 target set for 2025. According to a note published by the brokerage on Monday, this bullish outlook is driven by expectations of regulatory easing under the newly elected U.S. President Donald Trump.
Rally Fueled by Optimism
Bitcoin, currently trading above $90,000, has seen a significant rally since Trump’s election, fueled by hopes for pro-crypto policies. Bernstein identified key upcoming appointments for roles like the SEC chair and Treasury Secretary as pivotal for the market’s trajectory.
“We anticipate the SEC chair and Treasury Secretary positions to be filled by candidates favorable to cryptocurrency, maintaining market optimism regardless of specific appointments,” Bernstein analysts stated.
Steps Toward a Bitcoin Reserve
Bernstein also noted the U.S. is making strides toward creating a Bitcoin reserve, although the legislative process might take time. Analysts emphasized that demand in this cycle is being driven by institutions, corporates, and retail investors, signaling a transition to broader institutional and sovereign adoption.
“For us, the demand for Bitcoin this cycle is led by institutions, corporates, and retail,” analysts wrote. “Momentum signals a shift to broader sovereign interest in the asset.”
Sovereign-Driven Cycle Ahead
Bernstein anticipates the current retail and corporate-driven cycle will evolve into one propelled by sovereign demand. This is underpinned by deregulation and growing opposition to Central Bank Digital Currencies (CBDCs). Trump’s campaign promises, including support for stablecoin legislation, streamlining token registration, and boosting U.S.-based Bitcoin mining, are expected to further bolster institutional and sovereign interest in digital assets.
Regulatory Easing in Focus
With regulatory clarity on the horizon, Bitcoin is set to gain a foothold in the portfolios of institutions and governments alike. Bernstein’s predictions align with growing confidence that deregulation and anti-CBDC sentiment could lead to significant adoption of the cryptocurrency.