Following the presidential election last November, Bitcoin‘s (Cryptography: BTC) Prices skyrocketed 54% in just six weeks. After trading in a relatively narrow range for the first few months of 2025, the top crypto went down. At the time of writing, peak prices have been 20% off since January.
Bitcoin currently costs under $90,000. Will this make digital assets a smart opportunity to buy your portfolio? Let’s take a closer look at the Bitcoin Bear and Bull discussion.
Anyone who follows Bitcoin knows that its price goes through a boom and bust cycle. Throughout its history, it has not failed to return from lows to reach new highs. It has volatility in the short term, but prices have risen in the long term.
We’ve been almost 12 months since our latest half (April 2024). 12-18 months after the previous halving, Bitcoin is experiencing a strong bull market. If history is any indication, the rest of the year could prove positive for prices.
Favorable regulatory measures such as the Spot ETF approval and the White House accommodation stance have helped to reduce the stigma surrounding Bitcoin. As it is considered a low-risk asset, this can bring a huge amount of fresh purchasing power, whether from institutional investors, businesses or even national countries.
Given the fixed supply, only up to 21 million Bitcoin units will be in circulation. Owning such a hard asset is a very convincing proposition for investors. It works in contrast to how the Fiat Money system works. With growing government debt, M2 money supply, the world’s top four central banks, has more than doubled in 15 years. This trend never ends.
Even after the monumental rise of the last 15 years, Bitcoin represents less than half of all the wealth in the world. Given its trajectory and recent developments are working on its profits, it is easy to believe that the proportion will continue to rise over time. This means that Bitcoin still has incredible advantages from its current level.
One of the best features of Bitcoin is that it is decentralized. In other words, there is no single entity that has complete control over it. People appreciate this because it means Bitcoin software. That rule cannot be easily changed to the profits of a selected few.
However, this setup can get even worse. The large asset managers sponsoring the Bitcoin Spot ETF collectively hold about $100 billion in crypto. Furthermore, the US is currently planning Create a reserveit’s probably just a matter of time until other countries start doing the same thing. This could lead to large buyers being introduced into the market, resulting in the centralization of Bitcoin ownership over time.
The story continues