The world has changed and is no longer the same place it was just a month ago. Bitcoiners have been declaring for over a decade that it was the future and would eventually take over.
It appears that they were right.
All of the cards seem to be lining up for Bitcoin to do something incredible. Some would call it hyperbitcoinization, and others would say mainstream adoption.
One thing is for certain, we have now entered the Bitcoin era and there is no turning back. Its either get in or get left behind.
Bitcoin Has Never Been More Bullish
The Trump Bitcoin Era
Donald Trump being elected President in the US changes everything. The US still has the largest economy in the world and is also the most influential. Now that a Bitcoin-friendly President will be in office, it further demonstrates that Bitcoin is an asset that can be trusted by the rest of the world.
The transition from the Biden Administration which heavily fought crypto to the crypto-friendly Trump would itself be enough to be extremely bullish for Bitcoin.
However, Trump took it a step further. He stated that he intends to create a National Bitcoin Reserve in the US. A move that would ignite Bitcoin game theory amongst nation-states that would be enough to make most Bitcoin holders incredibly wealthy. While there is no guarantee that Trump will follow through on this promise, it has become much more possible after the Republicans swept the election by winning the president, the Senate, and also the congress.
Trump wants to make the US a crypto powerhouse, and this would be very bullish for the market. There are even rumors that he wants to reduce or eliminate taxes for cryptocurrencies made in the US. If any of the above even comes close to happening. You do not own enough crypto.
Crypto friendly regulation
I already touched on it a little above, but people have already forgotten how dire the crypto market was becoming in the US during 2022–23.
Elizabeth Warren was using Gary Gensler to not only attack the crypto market, but they were actually attempting to end it.
They began chokepoint 2.0, with the goal of de-banking any company that was involved in the crypto market as a way to try to strangle the crypto market. The scary thing was that it was working. It had become almost impossible for US crypto companies to survive, and most either moved overseas or closed. Gary Gensler was sending out lawsuits left and right; suing companies such as Coinbase, Kraken, Gemini, and the list goes on. That doesn’t even begin to mention how the SEC began declaring some of the most high-profile cryptocurrencies as securities.
The cryptocurrency market was under attack and there were real doubts whether the market would survive as we know it in the US.
With the election in November, seemingly all of those worries have been swept aside in seconds. For the first time perhaps in Bitcoin’s history. The future of Bitcoin in the US appears to be bullish and safe from regulations.
Nation-State Accumulation — A Game of Musical Chairs
After Trump was elected, the price of Bitcoin began going parabolic, soaring as high as $99k. Around this time heavy rumors began circulating that there was a country in the Middle East that was buying Bitcoin and trying to front-run the US before Trump could start his national Bitcoin reserve.
Once the game of Bitcoin musical chairs begins, countries will be scared to be left standing on the sidelines.
El Salvador was the first nation-state to make Bitcoin legal tender. However, Trump’s announcement at the Bitcoin 2024 conference was the “shot heard around the world.”
When the US is taking action on Bitcoin, it is something that other countries cannot afford to ignore. After Trump’s elections, it is likely that countries all over the world were having secret emergency meetings to decide what their own Bitcoin strategy will be.
Slowly, then suddenly.
If news comes out that these rumors of a Middle Eastern country buying were true. It will quickly become much more difficult to buy Bitcoin.
The ETF & BTC Halving
Everyone has been so distracted by Trump’s election and possible nation-state adoption that they have been ignoring all the bullish things happening on the other side of the room.
The US Bitcoin ETF and also the BTC halving.
BlackRock applying for a spot ETF and then it being approved was a singular event that ended the bear market and sent Bitcoin to new all-time highs before the halving even occurred. We have never had a bull cycle with the amount of demand that is coming from these ETFs. The truth is that no one knows what effect this will have on prices, but most are expecting extremely bullish things.
The halving is still being slept on by most people in the market. After all, in Bitcoin’s history, the halving has been the catalyst that ignited each bull market. There is no reason to expect otherwise this cycle.
However, it wouldn’t be outlandish for this halving to perform as if it were on steroids. We have three incredibly bullish scenarios all playing out at once. Expect the unexpected.
Unprecedented Price Levels
For the first time in Bitcoin’s history, it made a new all-time high before the having took place. Reaching a price of $74k.
The unprecedented has happened, and this meant that we could throw what we thought we knew out the window. It appears that this cycle truly will be different.
With Bitcoin now having soared up to $99k no one knows how far it will go. There have been predictions for Bitcoin reaching $150k, $250k, $500k, and even further beyond that.
Even respected fund managers such as Fidelity, VanEck, and ARK investments have all made predictions that Bitcoin will reach $1 million by 2030.
The only thing that is certain, is that none of us owns enough Bitcoin.
How about you? What are your Bitcoin predictions for 2025?
As always, thank you for reading!
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