Despite the volatile start of the year, the optimism surrounding Bitcoin has yet to waver. After surged by around 111% in 2024, digital assets experienced fluctuations earlier this year. After the first drop I rebounded about 15%. However, since mid-January, Bitcoin has faced another slump, falling by around 9.5% (as of February 11th).
President Donald Trump remained true to the campaign promises, imposing tariffs on China and adding uncertainty to the cryptocurrency market. China could impose tariffs on imports in US retaliation and curb the trade war between the two largest economies of the world.
Despite the uncertainty of the trade war, the fundamental driving force of digital currency remains strong, supporting the expected gatherings in the coming period. Strategic Bitcoin Reserves, Crypto-Friendly Regulation Changes, Institutional Adoptions, and Pro-Crypto Cabinets pave the way for a highly optimistic future for digital assets, and the headwinds faced by digital currencies It exceeds.
On his second day in office, Trump began with a pre-election campaign promise by announcing the formation of a new SEC cryptocurrency task force, raising the enthusiasm of the crypto bull and accelerating investor optimism .
As recently cited in Reuters, US representative France Hill, who chairs the House Financial Services Committee, announced that he will form a working group to develop policies that will help lawmakers in both Congresses develop digital assets growth. I did.
President Trump’s administration has already appointed three pro-crypto regulators to lead key institutions, paving the way for a highly optimistic future for digital assets. His choice for Crypto could sack Paul Atkins as SEC chair and David as “AI and Crypto Czar” and act as a strong positive signal for the industry, causing one of the biggest crypto bulls there is.
The potential for US strategic Bitcoin reserves will drive expectations that digital assets estimates will double by 2025, and the US will maintain its leadership in the global Bitcoin market, particularly as a competition from China. It may help. It will grow.
According to Yahoo Finance, Bitcoin’s realised capitalization exceeded $850 billion for the first time, indicating a strong recovery from the bare market in 2022. This surge highlights the growing role of Bitcoin as a valuable store.
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As quoted in Yahoo Finance, President Trump’s Staff Accounting Breaking News (SAB) No., according to Geoffrey Kendrick, Head of Digital Asset Research at Standard Chartered. The abolition of 121 requires companies to record digital assets as liabilities. Crypto industry.
According to Yahoo Finance, Standard Charter predicts Bitcoin will reach $500,000 before Trump takes office. The banks predict that Bitcoin will reach $200,000 in 2025 and $300,000 in 2026, suggesting an increase of about 107% and 211% from current price levels, respectively.
Recently, according to Yahoo Finance, President Donald Trump signed an executive order to establish a sovereign fund within the crypto industry that could include investments in cryptocurrency, accelerating the momentum of cryptocurrency, and Innovations sparked speculation that America could be solidified at the forefront of cryptography.
Multiple parent crypto cabinet members involved in establishing wealth funds increases the likelihood of crypto inclusion. Norway has the world’s largest sovereign wealth fund and already has a Bitcoin exposure of $355 million.
Market-by-market participants that include digital assets in the fund provide direct investment and price support to the relevant cryptocurrencies, act as an implicit approval of the asset class, attracting both institutional and retail investors, and mainstream We will promote the recruitment of
According to BlackRock, as quoted in Yahoo Finance, sovereign wealth fund Bitcoin purchases could raise the price of Bitcoin to up to $700,000.
The growing interest from institutional investors also drives momentum, sending positive signals to the market, reflecting the trust of the world’s largest institutions in digital currencies.
With the recent decline in crypto prices, institutional investors seem to be seizing the opportunity to buy dip. According to Coinshares, digital currency has recorded five consecutive weeks of inflows, totaling $1.3 billion, as quoted in Yahoo Finance.
As quoted in Yahoo Finance, with every Goldman Sachs’ latest 13F filing covering the fourth quarter of 2024, investment banks have significantly expanded their Bitcoin ETF holdings, with 12 in iShares Bitcoin Trust ETF (IBIT) It held $70 million, marking an 88% increase from previous filings.
Below, we have mentioned several ETFs that allow investors to increase their portfolio’s exposure to digital currencies.
Bitcoin and the broader cryptocurrency markets experience short-term volatility and can fluctuate up and down. However, the long-term trajectory remains upward. Despite these price fluctuations, the overall trends indicate growth.
For investors with a long-term horizon, increasing their current exposure to digital assets and following a “buy-the-dip” investment strategy could be a smart investment strategy. Market Dip offers a valuable opportunity to accumulate Bitcoin at a lower price. By purchasing dips, investors can position themselves for significant profits, as the ultimate rise of Bitcoin is inevitable.
Investors can consider funds that allow investors to see iShares Bitcoin Trust IBit, Grayscale Bitcoin Trust GBTC, Fidelity Wise Origin Bitcoin Fund FBTC, ARK 21Shares Bitcoin ETF ARKB, and BITWISE BITCOIN ETF TRUST BITB.
Investors can also view the Grayscale Bitcoin Mini Trust BTC.
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