Crypto Outlook for the Second Half of 2025: Can Bitcoin Break Through $200,000?

Bitcoin's bullish outlook: Analysts predict Bitcoin could surpass $200,000 by end of 2025, with current prices already exceeding $117,000. Institutional inflows into Bitcoin ETFs have reached $14.4 billion, reflecting growing confidence.
Policy shifts under Trump: The U.S. has adopted a crypto-friendly stance, dropping lawsuits, passing the GENIUS Act, and establishing a Bitcoin Reserve. Companies like Metaplanet and Twenty One are emerging as key players in Bitcoin reserves.
Altcoins remain relevant: Despite Bitcoin's dominance, altcoins with strong fundamentals are expected to thrive, aided by regulatory changes like the Cryptocurrency Market Structure Act.
ETF and IPO boom: The SEC is likely to approve more crypto ETFs, including single-asset and pledge ETFs. IPOs like Circle’s (up 475%) and filings by Gemini/OKX highlight market enthusiasm.
Ethereum's mixed prospects: While spot Ethereum ETFs may drive growth, its recovery lags behind Bitcoin, with institutional allocations still incomplete.

Key takeaway: The second half of 2025 could see Bitcoin’s historic rally, regulatory tailwinds, and a vibrant altcoin/ETF landscape, though Ethereum’s trajectory remains uncertain.

‍There have been major events in the cryptocurrency field in the first half of 2025. Bitcoin rose by about 24% in the first half of the year, while Ethereum's market value fell by nearly 12%.

With President Donald Trump taking office in January, the U.S. has seen a significant shift in its attitude toward cryptocurrencies. Several lawsuits filed against cryptocurrency companies during the Biden administration have been dropped or resolved, and the passage of the GENIUS Act marks the first cryptocurrency-related legislation in the U.S.

Amid the uncertainty caused by Trump's tariff policy, Bitcoin has become the preferred asset allocation, hitting a record high of about $112,000 in May. Institutional attention to Bitcoin and cryptocurrencies has also risen sharply. According to data from Farside Investors, as of July 3, the total net inflow of Bitcoin ETFs was about $14.4 billion.

With Bitcoin currently trading at over $117,000, here are some of the major trends investors may face in the second half of 2025.

Bitcoin Reserve Corporation is booming

Since Trump signed an executive order in March to establish the US Strategic Bitcoin Reserve, a number of Bitcoin reserve companies have emerged. These companies have allocated most of their reserve assets to Bitcoin.

Although Strategy (formerly MicroStrategy), led by Michael Saylor, has been using this model for many years, new players such as Metaplanet and Twenty One have entered the market. Last week, Saylor said that Bitcoin Reserve has the potential to grow exponentially, and its expansion speed depends on its ability to issue securities and purchase Bitcoin.

Coinbase, Universal Digital Inc. and other companies have also announced plans to create Bitcoin reserves. Last month, the SEC approved a $2.3 billion Bitcoin reserve transaction for Trump's Trump Media and Technology Group.

Stephen Cole, co-founder and CEO of Bitcoin reserve solution provider Castle, told Investopedia that Bitcoin treasury companies are emerging in major economies around the world, and this trend will continue in the second half of 2025.

Cole said: "Driven by global market trends, corporate strategic transformation and institutional recognition, the second half of 2025 will be a key node for the widespread adoption of Bitcoin as a reserve asset."

Cole added that the question of whether to buy Bitcoin is quickly shifting from “if” to “when” for all businesses, regardless of size. In fact, he expects that by the end of 2025, several tech giants will begin buying Bitcoin and developing their allocation strategies.

Altcoins will still have their place

Despite the emergence of Bitcoin reserve companies, demand for altcoins is expected to continue for the rest of the year. FalconX head of research David Lawant told Investopedia that despite the increasing ease of access to Bitcoin, altcoins with "strong and unique fundamental value propositions" will continue to perform well.

Lawant added: “Regulatory changes such as the Cryptocurrency Market Structure Act and a more relaxed stance towards DeFi experiments could catalyze a new and powerful trend.”

Cryptocurrency ETFs and IPO boom

The SEC has taken a friendlier stance toward cryptocurrencies under the Trump administration, and more ETFs are expected to be approved before the end of the year.

“I think the vast majority, if not all, of the 19b-4s that have been filed will be approved by the end of the year,” said James Seyffart, an ETF analyst at Bloomberg. “That includes physical redemption, pledge ETFs, and about 10 single-asset ETF attempts.”

Since the beginning of 2025, several cryptocurrency companies have gone public, with Circle’s IPO exceeding expectations, with its stock price rising 475% in less than a month. Gemini has also filed for an IPO confidentially, while there are reports that OKX may also go public. This trend is expected to continue for the rest of the year.

Bitcoin and Ethereum prices

Most analysts are optimistic about the outlook for Bitcoin prices in the second half of 2025. Anonymous Bitcoin analyst Stockmoney Lizards recently pointed out on the X platform: "Bitcoin is about to break out of its multi-year price range." He expects Bitcoin prices to exceed $200,000 by the end of the year.

Bitwise Asset Management also stuck to its original forecast that Bitcoin will reach $200,000 by the end of 2025, though the firm is less certain about Ethereum’s ability to recover. Standard Chartered Bank also reiterated its prediction that Bitcoin will reach $200,000.

As for Ethereum, although its future is full of uncertainty, it may not be time to give up yet. Lawant believes that with the launch of spot Ethereum ETFs and the fact that many institutional investors "have not yet fully allocated Ethereum", it means that Ethereum "still has a lot of room for catch-up growth."