Yes, It’s Still Worth Buying BTC in 2025 – Here’s Why According to 21Shares Report

• Is Now Still a Good Time to Buy Bitcoin?
• Why Time in the Market Beats Timing the Market
• How Have Bitcoin’s Market Cycles Changed?
• Institutional Adoption: A Game-Changer for Bitcoin
• The Magic of a 5% Bitcoin Allocation
• Why Bitcoin’s Next Phase Looks Promising
• Frequently Asked Questions

Bitcoin (BTC) has seen its fair share of volatility recently, but analysts from 21Shares argue that it’s far from too late to invest. Despite recent dips and recoveries, the cryptocurrency remains a compelling asset for long-term portfolios. This article dives into the key reasons why BTC is still a buy, backed by data, historical trends, and institutional adoption. Whether you're a seasoned investor or just crypto-curious, here’s what you need to know.

Is Now Still a Good Time to Buy Bitcoin?

Bitcoin’s price action in recent weeks has been a rollercoaster—plummeting, rebounding, and now fluctuating with mild bearish pressure. But according to Maximiliaan Michielsen, an analyst at 21Shares, the answer is clear:. Why? One of the oldest adages in crypto holds true: "The best time to buy bitcoin was yesterday, but today is better than tomorrow." Historical data supports this. Even if you bought BTC at the peak of every cycle, you’d still have at least doubled your investment by holding until now. That’s the power of Bitcoin’s long-term growth trajectory.

Why Time in the Market Beats Timing the Market

Michielsen emphasizes thatA study cited in the report shows that a $1,000 investment in Bitcoin at each cycle’s peak would still yield significant returns if held long-term. Since the launch of Bitcoin spot ETFs in the U.S. in January 2024, the percentage of profitable entities has never dropped below 80%. This suggests that, despite short-term volatility, Bitcoin remains a resilient asset for patient investors.

How Have Bitcoin’s Market Cycles Changed?

21Shares notes a shift in Bitcoin’s market behavior. In the past, rapid price surges led to heavy profit-taking and volatile swings. Today, the investor base is more composed, with many viewing BTC as a. "Even during sell-offs, we’ve seen strong demand from buyers willing to accumulate at discounted prices," Michielsen observes. This has led to shallower corrections and faster recoveries. Additionally, the current bull market has seen no pullbacks exceeding 30%—a stark contrast to previous cycles.

Institutional Adoption: A Game-Changer for Bitcoin

One major factor behind Bitcoin’s stability?Over $25 billion has flowed into Bitcoin ETFs this year, while corporate and sovereign entities have bought more than six times the amount of newly mined BTC. This institutional demand has absorbed selling pressure, making Bitcoin’s price movements less erratic. "BTC is no longer a speculative gamble—it’s becoming a strategic portfolio allocation," says Michielsen.

The Magic of a 5% Bitcoin Allocation

Here’s a compelling stat: adding justto a traditional portfolio boosts average annual returns from 12% to 16%, according to 21Shares. Volatility increases by only 1%, making the risk-reward ratio highly favorable. The report highlights that "returns and risk-adjusted metrics improved across all rebalancing strategies, while drawdowns remained manageable."

Why Bitcoin’s Next Phase Looks Promising

Michielsen concludes that Bitcoin has entered adefined by institutional adoption, deeper liquidity, and integration into global finance. "Even the worst historical investors would’ve seen their BTC allocation grow over 2x in the past five years," he notes. With corrections in this cycle being the mildest on record, Bitcoin’s maturation is undeniable. For those still on the fence, the data speaks for itself.

Frequently Asked Questions

Is Bitcoin still a good investment in 2025?

Yes. Despite short-term volatility, long-term trends—such as institutional adoption and historical returns—suggest Bitcoin remains a viable investment.

How much Bitcoin should I add to my portfolio?

Studies show that even a 5% allocation can enhance returns significantly with only a marginal increase in risk.

What’s driving Bitcoin’s price stability?

Institutional demand, including ETFs and corporate purchases, has reduced volatility and supported price floors.