Crypto Exchange-Traded Fund (ETF) Issuer Bitwise Predicts 2025 Will Be a Big Year for Crypto
In a recent report titled "10 Crypto Predictions for 2025," investment chief Matt Hougan and research head Ryan Rasmussen from crypto exchange-traded fund (ETF) issuer Bitwise predicted that at least five ‘crypto unicorns’ will go public in 2025, including stablecoin issuer Circle and crypto exchange Kraken.
What Makes 2025 a Promising Year for Crypto?
According to the report, growing investor demand, institutional adoption, a favorable macro environment, and a warmer political environment were the main catalysts that led the pair to name 2025 as the ‘Year of the Crypto IPO.’ This optimistic outlook is based on several factors, including:
- The increasing interest in cryptocurrency among institutional investors
- The growing adoption of blockchain technology by various industries
- The favorable regulatory environment in many countries
- The improving macroeconomic conditions
Five Strongest Candidates for IPO Listings in 2025
The report identifies the following five firms as the strongest candidates for initial public offerings (IPOs) in 2025:
- Circle: A stablecoin issuer that has been growing rapidly in recent years
- Kraken: A popular cryptocurrency exchange that has been expanding its services
- Anchorage Digital: A so-called ‘crypto bank’ that offers a range of financial services
- Chainalysis: An analytics firm that provides blockchain-based data and insights to clients
- Figure: A crypto exchange that offers a range of trading and investment products
Crypto Predictions for 2025
The report also includes several other predictions for the crypto market in 2025, including:
- BTC, ETH, and SOL to hit new highs: Hougan and Rasmussen forecast that Bitcoin (BTC) will hit $200,000 or more by the end of 2025 and said it could surpass gold’s current $18 trillion market cap by 2029. Ethereum (ETH) is expected to bounce back in 2025 and hit a high of $7,000, fueled by growing activity on Ethereum layer 2s, more spot Ether ETF flows, and ‘massive growth in stablecoins and tokenized projects.’ Solana (SOL) is anticipated to push its price to $750 — a 250% increase from its current $215.
- Coinbase to be most valuable brokerage: The pair predicted Coinbase shares would more than double to $700 and overtake Charles Schwab as the most valuable brokerage platform in 2025, earning it a place in the S&P 500. This is due to the growing importance of Coinbase’s revenues from its stablecoin, staking, and custody services.
- MicroStrategy joins Nasdaq-100: The duo expects MicroStrategy shares to rise into the Nasdaq-100 index when the two indexes next rebalance.
Tokenization of Real-World Assets Will Increase
Bitwise also predicts that tokenization of real-world assets will increase from around $13 billion to $50 billion in 2025. This is due to the benefits of instantaneous settlement, 24/7/365 liquidity, and lower costs compared to traditional securitization.
Artificial Intelligence Agents Will Spearhead Memecoin Mania
Hougan and Rasmussen say crypto markets are in for an ‘even bigger memecoin mania’ in 2025, fueled largely by artificial intelligence agents. The report highlights how AI chatbot Truth Terminal promoted the ‘obscure’ memecoin GOAT, which soared to a $1.3 billion market cap.
Stablecoin Market May Double
The pair expects the stablecoin market to double to $400 billion, partly driven by long-awaited stablecoin legislation in the US. They also anticipate that the United States Department of Labor will ‘relax its guidance’ against crypto in 401(k) plans, enabling another avenue for billions of dollars to flow into the market.
Conclusion
2025 is shaping up to be a big year for crypto, with several firms predicted to go public and the stablecoin market expected to double. The increasing adoption of blockchain technology, growing institutional interest, and favorable regulatory environment all contribute to this optimistic outlook. As the crypto market continues to evolve, investors should stay informed about these predictions and potential opportunities.
Sources
- Bitwise Report: "10 Crypto Predictions for 2025"
- Reuters: "Bitwise predicts five ‘crypto unicorns’ will go public in 2025"
- Bloomberg: "Circle and Kraken among top candidates for IPOs in 2025, Bitwise says"
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