Fundstrat Global Advisors co-founder Tom Lee, known for his accurate market predictions, has released his 2025 outlook for Bitcoin, forecasting substantial gains. Lee believes there are two key factors that will support higher growth in the coming year. Firstly, the Federal Reserve’s easing measures as inflation decreases, and secondly, the pro-business policies of the incoming Trump administration. Lee explained that while the Fed is expected to focus on employment as inflation is brought under control, potential policy changes from the new administration could boost corporate earnings growth.
Lee, a long-time Bitcoin advocate, predicts that the largest cryptocurrency could rally to $250,000 by 2025. Bitcoin recently surpassed $100,000 for the first time, demonstrating the strength of its current upward trend. Lee attributes these potential gains to Bitcoin’s historical post-halving price cycles, as well as increasing institutional adoption and positive political sentiment, which he believes make such gains “extremely likely.”
In addition to these factors, Lee also highlighted the potential impact of U.S. government intervention. He suggested that if the U.S. were to accumulate Bitcoin as part of its strategic reserves, it would lend more legitimacy to BTC and push prices even higher.
“Bitcoin’s growth is part of a broader trend towards increasing institutional adoption that will drive the entire market forward,” Lee remarked. In addition to Bitcoin, he also expects other cryptocurrencies like Ethereum, Solana, and Avalanche to experience significant gains.
*This article does not provide investment advice.