Bitcoin has for the first time burst through the $100,000 barrier. The cryptocurrency has defied prophecies of doom to reach an all-time high. Bitcoin has gone from a mystery in a dark corner of the internet to an asset endorsed by world governments and increasingly accepted as legal tender. On Thursday, December 5, a single BTC traded at $103,400 after President-Elect Donald Trump announced ‘crypto advocate’ Paul Atkins would take charge of the SEC. The 47th President of the US took to social media to take credit for the surge, posting to Truth Social, he said: “Congratulations Bitcoiners…You’re welcome!”

In five years, the price of a single Bitcoin has grown from $7,500 to over $100,000. But can the digital currency continue to climb, and if so, how high will it go?

Bitcoin to hit $120,000 in Q1 2025

Bitcoin is set to make rapid gains in the New Year, reaching $120,000 by the end of the first quarter. That’s according to the head of one the world’s largest financial advisory firms, who previously predicted Bitcoin’s $100,000 milestone. Nigel Green, CEO of the deVere Group, predicted on Thursday that there would be a brief sell-off of BTC, before its price rebounds to a new record high. Commenting, he said:

“With such a dramatic rise in a short period, it’s natural that some investors will lock in profits. This likely sell-off will be a temporary pause before Bitcoin builds on its momentum, surging to $120,000 as early as the first quarter of next year.”

Mr Green said the policies of the incoming Trump administration, which includes a pledge to create a US strategic Bitcoin reserve, are likely to buoy Bitcoin further still:

“Bitcoin’s extraordinary run comes as markets anticipate that Trump 2.0 will create a more favourable regulatory framework for cryptocurrencies. Investors are betting on the President-elect’s pro-crypto stance, with policies expected to reduce red tape and promote innovation in blockchain technology.”

Mr Green added Bitcoin was no longer a ‘speculative’ asset, but now has a place as a “Core component of the future of finance, which appeals to everyone from Wall Street heavyweights to retail investors seeking to protect and grow their wealth.”

Could Bitcoin reach $200,000 in 2025?

Bitcoin is experiencing what some consider an exponential growth curve. Its value continues to climb as more people join the network, lending their confidence to the currency and simultaneously placing more demand on it. The endorsement of Bitcoin by world governments, who underwrite our trust in fiat currencies, will be an important factor in cementing the enduring resilience of Bitcoin. And those endorsements are coming thick and fast.

El Salvador’s millennial president, Nayib Bukele, has made his country a tidy $300,000,000 profit after investing in Bitcoin in 2021. In the same year, El Salvador became the first country in the world to accept the crypto coin as legal tender. While El Salvador may grab all the headlines, you may be surprised to know that global governments hold more than two per cent of all Bitcoin globally, and this figure could be set to rise.

Analysis by CoinGeko shows that the US holds over 200,000 BTC, China holds around 190,000 and the UK holds just over 60,000. A separate analysis by BitcoinTreasuries found governments control as much as 2.7 per cent of all Bitcoin. While these stockpiles have been largely accrued through seizures, President-Elect Trump’s plan to create a strategic BTC reserve could be a ‘game changer.’ That’s according to the chief executive of CoinShares, who said in a note that:

“The GOP’s commitment to clear crypto regulations and making bitcoin a strategic reserve asset is set to be a game-changer for industry growth,”

Bernstein analyst Gautam Chhugani says US government policy under Trump 2.0 will be “materially positive” for BTC and factors in to his forecast that Bitcoin will hit $200,000 in late 2025.

While Chhugani’s forecast may seem bullish, he is far from being a lone voice. Standard Chartered now put their BTC end-of-2025 price target at $200,000 too. Analyst Geoff Kendrick said the firm could become even more bullish if planned proposals to create a US strategic BTC reserve start to emerge over the coming year. As per CNBC, he said this in a note on Thursday:

“We would turn even more bullish if BTC saw more rapid uptake by U.S. retirement funds, global sovereign wealth funds (SWFs), or a potential US strategic reserve fund,”

However, some analysts think $200,000 might be too cautious of a prediction.

Bitcoin could be worth $500,000 in 2025

The American businessman Robert Kiyosaki has predicted Bitcoin will reach $500,000 by the end of 2025. A vocal supporter of BTC, Kiyosaki has been overly bullish in the past – with most analysts saying these numbers are unlikely until the end of the decade, if at all. But Kiyosaki’s forecast is not without some basis.

In a recent analysis by The Motley Fool, they showed that the year following a Bitcoin halving resulted in an average 400 per cent increase in price. As they point out, this would result in a $500,000 price point in 2025. Writing for the outlet, financial blogger R J Fulton said:

“On average, in the year after a halving, Bitcoin returns a blistering 400 per cent. The most obvious reason for such monumental performance during these years is that the market begins to adjust to the halving, meaning that in these years the supply shock finally materializes.

“If this happens again and Bitcoin finishes 2024 in line with the historical average, that would put its price around $500,000 in 2025.”

Although Fulton rightly points out that past performance is no guarantee of future results, he says there are many reasons to remain optimistic about the price of BTC going forward.

While a $500,000 price point may be overly optimistic, analysts agree that in 2025 the scene is set for Bitcoin to reach new all-time highs.

2025 could be a great year for Bitcoin

2025 looks set to be a good year for Bitcoin. The cryptocurrency again surged past the $100,000 mark on Wednesday, after optimism over the incoming Trump administration recovered the price after it dropped to below $90,000 following weeks of profit taking.

Investor confidence has been boosted by leaked executive orders, set to be signed by Trump on day one of his second term, which would reportedly repeal a law requiring banks to count BTC as a liability on their balance sheets.

Speaking to CNBC, the deVere CEO Nigel Green said he believed Bitcoin was becoming an accepted fixture of the financial landscape – and was no longer a niche internet phenomenon. The finance chief said this process was being accelerated by the incoming Trump administration and the result could be good for those who are betting on BTC:

“There are lots of positives for Bitcoin. For the first time ever, you are seeing ETFs which are being used by the biggest fund managers in the world. That has really added credibility to Bitcoin and makes it much more accessible to people.

“If you look at Donald Trump, he has appointed people around him that are all fans of the digital space. Even the chairman of the SEC now is somebody who is a fan of digital currencies. I think he wants to make the US the crypto capital of the planet.

“I can see there is a run coming. Whilst I believe in diversification, I wouldn’t put all my money in one thing, I do think that you have the potential for a good run over at least the next six months. The expectations are quite high as we go into the start of the Trump presidency.”

In a boost for Bitcoin’s status major pension funds are now reportedly getting involved with the cryptocurrency in a big way, with the Michigan state pension scheme now among the top US holders of crypto-devoted market funds. Moves like this help cement Bitcoin’s legitimacy and in turn allow it to trade higher off of its own reputation. Mr Green believes the stage could now be set for a Bitcoin run over the next six months. He told CNBC he had a price target for BTC of $150,000 in 2025:

“$150,000 is my price target. Some people are talking about very big figures but I think $150,000 is certainly possible. I said $125,000 in Q1 and the direction overall so far is up. I don’t see a down year; I think it will at least hold its current price.

“But I am still going to emphasise investors shouldn’t put all their money in one asset class. If you are an investor I would always be diversifying and making sure you have an advisor explaining how to do that properly.”

How high will the Bitcoin price go?

Bitcoin’s rise to surpass the $100,000 mark is evidence it has gone from a niche asset to a mainstream commodity. Its increasing acceptance by global governments and institutional investors reflects a growing recognition of its role as a digital reserve currency.

Analysts agree there is plenty of scope for the Bitcoin price to increase, with serious estimates suggesting it could double by the end of 2025. The proposed U.S. strategic Bitcoin reserve under the Trump administration has the potential to significantly influence its value, lending credibility and stability to the cryptocurrency.

 Similarly, ongoing institutional adoption, including potential integrations into retirement funds and sovereign wealth portfolios, could further bolster its demand and long-term appeal. While predictions of Bitcoin reaching $200,000 or even $500,000 may seem bold, they are grounded in historical trends and the growing adoption of blockchain technology across industries. In 2025, Bitcoin may well cement its position as a fixture of global finance, appealing to diverse stakeholders ranging from governments to everyday investors. Whether it achieves six-figure or even half-a-million-dollar valuations, Bitcoin’s journey will continue to reshape the financial landscape, heralding a new era of decentralized and digital asset integration. Regardless of its precise valuation, Bitcoin’s future promises to be bright.