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CryptoQuant Report Places Bitcoin at a Max Price of $249,000 under Trump Administration

A weekly report by CryptoQuant predicted Bitcoin to hit a maximum price of $249,000 under the Trump Administration. 

The report cites growing institutional capital inflows and promising regulatory policies as the key drivers of the proposed Bitcoin price surge in 2025. 

Bitcoin could be targeting a price of $145k-$249 in 2025 driven by institutional capital flows, in the context of a favorable regulatory environment, accommodative monetary policy in the US, and historical cyclical patterns.

The incoming U.S. administration’s pro-crypto stance, including the appointment of crypto-friendly regulators and potential executive actions, may boost Bitcoin demand. The report read 

The role of the Federal Reserve was also cited in the report with the FOMC’s decision to have only two rate cuts in the whole of 2025 factored in. 

Projected interest rate reductions by the Federal Reserve could provide a favorable environment for capital to flow into risk assets like Bitcoin. 

A historical context in Bitcoin’s lifecycle was cited revealing that 2025 is the final year in Bitcoin’s 4-year cycle. The end of a cycle is usually associated with major price increases. 

$520 billion in New Capital 

The report projects that a whopping $520 billion will flow into Bitcoin in 2025 following a similar trend in Bitcoin’s past cycle. 

Favorable regulatory policies under Trump would heighten the inflow of capital into Bitcoin making the above number easily obtainable. 

The $520 billion projected to flow into Bitcoin was realized using the realized capitalization metric, which is the sum value, in US dollars, of each Bitcoin at the moment it last moved On-chain. 

A bulk of the proposed inflow will come from Institutional investors like it played out in 2024. 

Institutional investors, particularly address holding between 100 and 1,000 BTC drove a significant portion of the market’s capital inflows in 2024 increasing their holdings by $127 billion. 

This indicates a growing confidence in Bitcoin’s long-term potential among institutional investors. 

Bitcoin at the time of the report is exchanging hands for $99,190 surging by 2.3% in the last 24 hours. Bitcoin hitting $249,000 in 2025 would be a massive upsurge by the crypto asset and a big win for the crypto community.