Matthew Sigel: Bitcoin will reach $180,000 by 2025

Bitcoin to Hit $180k by 2025 Amid Favorable Political and Market Dynamics

Bitcoin's Path to Historical Highs

Matthew Sigel, head of digital asset research at VanEck, forecasts that Bitcoin will soar to $180,000 by next year. Sigel points to Bitcoin's historical performance during past market cycles, particularly those coinciding with U.S. presidential elections, as a basis for his prediction. The favorable stance of President-elect Donald Trump and Vice President JD Vance toward cryptocurrencies is expected to bolster Bitcoin's popularity and pave the way for substantial price growth.

Sigel highlights the changing dynamics among U.S. regulators and politicians as a critical driver of Bitcoin's upward trajectory. Trump's pro-crypto administration and a growing interest from institutional investors signal a broader acceptance of Bitcoin in mainstream finance. Investment advisors, for instance, are reportedly increasing Bitcoin allocations in their portfolios, raising its share from 1% to 3%. This incremental shift reflects a broader recognition of Bitcoin's potential as a stable, long-term asset.

Despite a decline in Google search volumes compared to previous peaks, Sigel notes that online interest in Bitcoin remains stable. This sustained engagement underlines the resilience of Bitcoin's appeal in a maturing market. Furthermore, the increasing activity in the Bitcoin futures market is another strong indicator of investor confidence. These trends collectively suggest a robust foundation for sustained growth.

According to Sigel, Bitcoin's "price discovery mode" is a hallmark of its long-term bull market potential. This phase often serves as a precursor to sustainable rallies, as the market recalibrates to accommodate new institutional and retail participants. Sigel envisions Bitcoin playing a pivotal role as an "international currency for settlements," especially as its integration with emerging technologies like artificial intelligence (AI) progresses.

The growing number of crypto conferences returning to the United States after years of absence also signals a revitalized interest in Bitcoin's potential. Sigel interprets these developments as a positive sign for the American economy, positioning Bitcoin as a key player in the evolving financial landscape.

Sigel previously predicted the launch of spot exchange-traded funds (ETFs) tied to cryptocurrencies like Solana (SOL) if the U.S. administration adopts a more crypto-friendly approach. Such developments could further enhance Bitcoin's accessibility and appeal to institutional investors, driving its adoption and value even higher.

Matthew Sigel's optimistic forecast for Bitcoin price underscores the confluence of political support, institutional adoption, and market dynamics that favor the cryptocurrency's growth. With increasing acceptance among policymakers and investors, coupled with strategic technological integration, Bitcoin appears poised to reach new heights in the coming years.