Forbes: Seven Crypto Market Predictions for 2025

Author: Leeor Shimron Source: forbes Translation: Shan Oppa, Golden Finance

2024 marks a historic turning point for Bitcoin and the cryptocurrency ecosystem . This year, the first batch of Bitcoin and Ethereum ETFs were successfully launched, marking the real start of institutions entering the encryption field. Bitcoin exceeded $100,000 for the first time, while stablecoins continued to consolidate the U.S. dollar's global dominance. In addition, the successful US presidential candidate will support Bitcoin as one of his core campaign promises during the campaign.

Together, these milestones set the stage for 2024 as an important year for the crypto industry to emerge on the global stage. As the industry heads into 2025, here are my predictions for the seven key events that are likely to happen in the next year.

**1. Major economies in the G7 or BRICS will establish and declare

strategic Bitcoin reserves**

The Trump administration’s proposal to establish a Strategic Bitcoin Reserve (SBR) for the United States has sparked widespread discussion and speculation.

While adding Bitcoin to the U.S. Treasury’s balance sheet will require strong political will and congressional approval, the proposal itself already has far-reaching consequences.

The signal sent by the United States may prompt other major countries to consider taking similar actions. According to game theory, these countries may act early to seize a strategic advantage in diversifying their reserves. The limited supply of Bitcoin and its increasingly prominent digital value reserve attributes may accelerate the response of various countries.

Currently, the world is entering a race to see which major country can be the first to include Bitcoin in its national reserves, held together with traditional assets such as gold, foreign exchange and sovereign bonds.

This move will not only further consolidate Bitcoin's status as a global reserve asset, but may also reshape the international financial landscape and have a profound impact on the global economy and geopolitics. If a major economy takes the lead in establishing a strategic Bitcoin reserve, it could signal a new era of sovereign wealth management.

**2. Stablecoins continue to grow, with circulation doubling and

exceeding US$400 billion.**

Stablecoins have become one of the most successful mainstream applications of cryptocurrency, bridging the gap between traditional finance and the crypto ecosystem. Millions of users around the world use stablecoins for remittances, daily transactions, and to hedge the risk of domestic currency fluctuations through the relative stability of the U.S. dollar.

In 2024, the circulating supply of stablecoins will reach a record high, exceeding $200 billion , with the market mainly led by Tether and Circle. Stablecoins rely on blockchain networks such as Ethereum, Solana and Tron to enable seamless, borderless transactions.

Looking ahead, stablecoin growth is expected to accelerate in 2025, possibly doubling to over $400 billion. This growth will be driven by the potential passage of stablecoin-specific legislation, which could provide much-needed regulatory clarity and spur innovation in the industry. U.S. regulators increasingly recognize the strategic importance of stablecoins in reinforcing the U.S. dollar’s ​​global dominance and solidifying its status as the world’s reserve currency.


Stablecoins hit all-time highs this year, with total supply exceeding $200 billion.

**3. Bitcoin DeFi will become the main force of growth driven by the L2

ecosystem**

Bitcoin is transcending its "store of value" role. With the development of L2 networks such as Stacks, BOB, Babylon and CoreDAO , the Bitcoin DeFi ecosystem is gradually emerging. These L2 networks enhance Bitcoin’s scalability and programmability , allowing DeFi applications to thrive on the most secure, decentralized blockchain.

2024 marks a transformative year for Stacks , with the launch of the Nakamoto upgrade and sBTC . The Nakamoto upgrade enables Stacks to fully inherit the finality of Bitcoin and introduce faster block speeds, greatly improving the user experience. At the same time, sBTC (trustless Bitcoin-anchored asset) was launched in December, allowing users to conduct DeFi activities such as lending, exchange, and staking without leaving the Bitcoin ecosystem.

Prior to this, if Bitcoin holders wanted to participate in DeFi, they needed to wrap Bitcoin to other networks, such as Ethereum.

This approach relies on centralized custodians such as WBTC (BitGo) , BTCB (Binance) and cbBTC (Coinbase) , increasing centralization and censorship risks.

Bitcoin L2 reduces these risks and provides a more decentralized way so that Bitcoin can play a greater role in its native ecosystem.

In 2025, Bitcoin DeFi is expected to achieve explosive growth . I predict that Bitcoin L2’s Total Volume Locked (TVL) will exceed the $24 billion currently represented by wrapped Bitcoin derivatives (approximately 1.2% of the total Bitcoin supply).

As the market value of Bitcoin reaches US$2 trillion , the L2 network will allow users to unlock the potential value of Bitcoin more safely and efficiently, further consolidating Bitcoin's core position in decentralized finance.


The value of Bitcoin-derived tokens packaged on other blockchains exceeds $24 billion, accounting for approximately 1.2% of the total value of Bitcoin’s total supply.

4. Bitcoin ETFs will continue to proliferate, and new cryptocurrency-

focused ETFs will emerge

The launch of the Spot Bitcoin ETF marks a historic milestone, becoming the most successful ETF debut in history. These ETFs attracted more than $108 billion in assets under management (AUM) in their first year, demonstrating unparalleled demand from retail and institutional investors. Major players such as BlackRock, Fidelity and Ark Invest have played a key role in bringing regulated Bitcoin to traditional financial markets, setting the stage for a wave of innovation in cryptocurrency ETFs.


The Bitcoin ETF is the most successful ETF ever launched.

Following the success of the Bitcoin ETF, the Ethereum ETF debuts, offering investors exposure to the second-largest cryptocurrency by market capitalization. Going forward, I expect staking to be integrated into Ethereum ETFs for the first time in 2025. This feature will enable investors to earn staking rewards, further enhancing the appeal and utility of these funds.

I expect ETFs to launch soon for other leading crypto protocols, such as Solana, which is known for its high-performance blockchain, thriving DeFi ecosystem, and rapid growth in gaming, NFTs, and memecoins.

Additionally, we may see the launch of weighted crypto index ETFs designed to provide diversification across the broader crypto market. These indices may include a mix of top-performing assets such as Bitcoin, Ethereum, Solana, and emerging protocols, providing investors with a balanced portfolio that captures the growth potential of the entire ecosystem. Such innovations will make cryptocurrency investing easier and more efficient and attract a wide range of investors, further driving capital into the space.

5. A “Big Seven” company will add Bitcoin to its balance sheet

(surpassing Tesla)

The Financial Accounting Standards Board (FASB) has introduced fair value accounting rules for cryptocurrencies, effective for fiscal years beginning after December 15, 2024. These new standards require companies to report their holdings of cryptocurrencies, such as Bitcoin, at fair market value while covering gains and losses from real-time market fluctuations.

Previously, digital assets were classified as intangible assets, forcing companies to write down impaired assets while prohibiting the recognition of unrealized gains. This conservative approach often underestimates the true value of cryptocurrencies held on corporate balance sheets. The updated rules address these limitations, making financial reporting more accurate and making cryptocurrencies a more attractive asset for corporate finances.

The Big Seven—Apple, Microsoft, Google, Amazon, Nvidia, Tesla, and Meta—collectively hold more than $600 billion in cash reserves, which gives them tremendous flexibility to allocate some of their capital to Bitcoin currency. With enhanced accounting frameworks and increased regulatory transparency, there is a good chance that one of these tech giants, in addition to Tesla, will add Bitcoin to its balance sheet.

This move will reflect prudent financial management:

• Hedging against inflation: Preventing fiat currencies from devaluing.

• Diversification Reserve: Add uncorrelated, limited digital assets to their portfolio.

• Capitalize on Appreciation Potential: Take advantage of Bitcoin’s long history of growth.

• Strengthen technology leadership: Align with an innovation-driven ethos by embracing digital transformation.

As new accounting rules take effect and corporate finances adapt, Bitcoin could become a key reserve asset for the world's largest technology companies, further legitimizing their role in the global financial system.

6. The total market value of cryptocurrency will exceed 8 trillion US

dollars

In 2024, the total cryptocurrency market capitalization soared to an all-time high of $3.8 trillion, covering a wide range of use cases, including Bitcoin as a store of value, stablecoins, DeFi, NFTs, memecoins, GameFi, SocialFi, and more. This explosive growth reflects the growing influence of the industry and the increasing adoption of blockchain-based solutions across different industries.

By 2025, the influx of developer talent into the crypto ecosystem is expected to accelerate, driving the creation of new applications, achieving product- market fit and attracting millions of additional users. This wave of innovation could lead to breakthrough decentralized applications in areas such as artificial intelligence (AI), decentralized finance (DeFi), decentralized physical infrastructure networks (DePIN), and other emerging areas that are still in their infancy. Program (dApp).

These transformative dApps provide tangible utility and solve real-world problems, driving adoption and increased economic activity within the ecosystem. As the user base expands and capital flows into the space, asset prices will rise, pushing overall market capitalization to unprecedented heights. Riding on this momentum, the cryptocurrency market is expected to exceed $8 trillion, marking continued growth and innovation in the industry.

7. The resurgence of crypto startups, the United States will once again

become a global crypto power

The U.S. cryptocurrency industry is on the verge of a transformative renaissance. U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler, whose controversial "mandatory regulation" approach stifled innovation and drove many cryptocurrency startups offshore, will leave his post in January. His successor, Paul Atkins, brought a very different perspective. A former SEC commissioner (2002-2008), Atkins is known for his pro-cryptocurrency stance, support for deregulation, and leadership in initiatives such as supporting cryptocurrency advocacy group Token Alliance. His approach promises a more collaborative regulatory framework that promotes rather than stifles innovation.

The end of Operation Chokepoint 2.0, a secretive effort to restrict crypto startups’ access to the U.S. banking system, further sets the stage for a resurgence. By restoring equitable access to banking infrastructure, the United States is creating an environment where blockchain developers and entrepreneurs can thrive without undue restrictions.

• Regulatory Clarity: A shift in SEC leadership and balanced regulatory policies will reduce uncertainty for startups and create a more predictable environment for innovation.

• Access to capital and resources: As banking barriers are lifted, cryptocurrency companies will have easier access to capital markets and traditional financial services, allowing for sustainable growth.

• Talent and Entrepreneurship: Reduced regulatory hostility is expected to attract top blockchain developers and entrepreneurs back to the United States, invigorating the ecosystem.

Increased regulatory transparency and new support for innovation will also lead to a significant increase in token issuance within the United States. Startups will feel empowered to issue tokens as part of their fundraising and ecosystem-building efforts without fear of regulatory backlash. These tokens, ranging from utility tokens for decentralized applications to governance tokens for protocols, will attract domestic and international capital while encouraging participation in U.S. projects.

in conclusion

Looking ahead to 2025, it is clear that the crypto industry is entering a new era of growth and maturity. As Bitcoin solidifies its status as a global reserve asset, the rise of ETFs, and the exponential growth of DeFi and stablecoins, the foundation is laid for widespread adoption and mainstream attention.

Supported by clearer regulations and groundbreaking technologies, the crypto ecosystem will push boundaries and shape the future of global finance. These predictions highlight a year full of potential, as the industry continues to prove itself to be an unstoppable force.