Bitcoin Eyes $200K by December—Why Altcoins Are Still Lagging (Bitwise Report)
Bitcoin’s bull run isn’t slowing down—analysts at Bitwise now predict a staggering $200,000 price target by year-end. But here’s the twist: altcoins are still stuck in first gear.
The King’s Rally
BTC’s dominance isn’t just holding; it’s accelerating. Institutional demand, ETF inflows, and that halving glow-up are fueling the fire. Meanwhile, Wall Street’s late to the party—again.
Altcoins: All Hype, No Traction
While Bitcoin soars, the rest of the crypto market struggles to keep pace. DeFi tokens, meme coins, even ‘Ethereum killers’—all underperforming. Blame it on thin liquidity or traders chasing the OG asset. Either way, the ‘altseason’ playbook’s gathering dust.
The Cynical Take
Funny how ‘diversification’ only works when Bitcoin’s done the heavy lifting first. Classic crypto.
Bitwise maintains $200,000 target for Bitcoin, says ETH and SOL could rally amid weak H1 performance
Bitwise executives Matt Hougan and Ryan Rasmussen reiterated the firm's prediction that Bitcoin will reach $200,000 by the end of 2025, adding that exchange-traded funds (ETFs) tracking the top cryptocurrency could surpass their 2024 inflow record.
The firm reviewed its crypto market forecasts for 2025 as the second half of the year began, revising some of its predictions from last December, but remained steadfast in its $200,000 Bitcoin prediction. The executives highlighted BTC's rally to an all-time high of $112,000 in May, as well as the rise of Bitcoin treasury companies and spot BTC ETF inflows, as major factors contributing to their positive stance.
"We're holding firm to our BTC $200k prediction, as there is simply too much institutional demand for BTC to keep prices flat for long," wrote Bitwise.
Hougan and Rasmussen also noted that US spot Bitcoin ETFs are expected to outperform their 2024 inflow record of $35 billion by the end of H2, especially with major wirehouses and asset management firms opening access to the ETFs. Their insistence on such a bold prediction comes after BTC ETFs amassed nearly $13 billion in inflows in the first half of the year, according to SoSoValue data.
On the other hand, Bitwise highlighted a slowdown in the growth of major altcoins, Ethereum and Solana, in H1 due to the impact of macroeconomic risks on the crypto market.
However, they noted that a combination of factors, including positive developments in stablecoin regulation and the rise of altcoin-focused treasury companies, could push prices up in H2.
"Progress in D.C. around crypto legislation, rising demand from institutional investors for crypto exposure, and extreme bullishness around stablecoins are combining to create a strong environment for gains," Hougan and Rasmussen wrote.
They further highlighted the accelerating growth of the stablecoin sector, noting that assets under management (AUM) have surged to $260 billion, marking a 30% increase since the beginning of the year. Despite the growth in this sector, Bitwise executives noted that the industry still has ground to cover before reaching the $400 billion mark.
A potential driver of further growth is the GENIUS Act, a stablecoin-focused bill that recently passed the US Senate, and the growing interest of traditional financial players in the stablecoin sector, including firms such as Mastercard, JPMorgan, and Bank of America. If signed into law, the GENIUS Act could provide the regulatory clarity needed to unlock broader institutional participation in crypto markets.
