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Crypto Market Outlook: VanEck Issues 10 Predictions, Including Bitcoin Nearing $200,000

News Feed - 2024-12-15 11:12:48

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As speculation swirls around the future trajectory of Bitcoin (BTC) and the broader cryptocurrency market, asset management firm VanEck has released a set of predictions that bolster optimism for continued upward momentum.  VanEck Forecasts Bitcoin Soaring To $180,000


VanEck predictsthat the crypto bull market will reach a “medium-term peak” in the first quarter of 2025, followed by new all-time highs by the year’s end. The firm estimates Bitcoin could soar to approximately $180,000, while Ethereum(ETH) may exceed $6,000, Solana (SOL) could surpass $500, and Sui (SUI) might reach over $10.


The report further suggests that the United States will begin to embrace Bitcoin as a strategic reserve asset, as President-elect Donald Trump promised, anticipating an increase in overall crypto adoption.  Related Reading Australia’s Biggest Pension Fund Makes Historic $17M Bitcoin Investment, A National First 2 days ago


With anticipated changes in leadership at the Securities and Exchange Commission (SEC), numerous spot crypto exchange-traded products(ETPs) are also expected to be approved. This includes Ethereum ETPs featuring staking options, as well as in-kind transaction capabilities for both Bitcoin and Ethereum.


Per the report, the asset manager forecasts that the value of tokenized securities will exceed $50 billion in the coming months, following a 61% growth to $12 billion throughout this year. 


Most of this value currently resides on permissioned chains, but 2025 is expected to be a breakthrough year, particularly as organizations like the Depository Trust & Clearing Corporation (DTCC) explore bridging public and private blockchains.


The firm projects that stablecoins will revolutionize payment systems, with daily settlement volumes potentially tripling to reach $300 billion by the end of 2025.


This growth, driven by increased adoption in global commerce, remittances, and integration with major technology and payment networks, would position stablecoins to handle transactions equivalent to 5% of DTCC’s daily volumes. DeFi To Hit All-Time Highs


Another intriguing prediction is the rise of one million new AI agents, which VanEck describes as “digital workers” that autonomously execute tasks or make decisions.


These agents are expected to generate significant on-chain activity as they expand their roles beyond decentralized finance(DeFi) into areas such as social media, gaming, and consumer applications.


VanEck anticipates that Bitcoin Layer-2 solutions will accumulate a total value locked (TVL) of 100,000 BTC, building on an impressive 600% growth in 2024 that brought the TVL to 30,000 BTC. 


The report forecasts that Ethereum’s blob space will generate $1 billion in fees, spurred by the rapid adoption of Layer-2 solutions, rollup optimizations, and high-fee use cases such as tokenized assets and enterprise applications.


VanEck predicts that decentralized finance (DeFi) will hit all-time highs, with decentralized exchange(DEX) volumes reaching $4 trillion and total value locked in DeFi rising to $200 billion. 


This growth will reportedly be fueled by AI-related tokens, consumer-facing decentralized applications (dApps), and the tokenization of assets that drive liquidity and user adoption. Related Reading Solana Price On The Rise: Key Resistance At $235 Could Spark Major Breakout 2 days ago


The non-fungible token (NFT) market is expected to rebound, with trading volumes projected to reach $30 billion in 2025. Despite recent downturns, standout projects like Pudgy Penguins and Miladys have managed to thrive by leveraging strong community ties and transitioning into consumer brands.


Finally, VanEck forecasts that decentralized application (dApp) tokens will narrow the performance gap with Layer-1 tokens.


In 2024, Layer-1 blockchain tokens outperformed dApp tokens by a factor of two, but innovative dApps in artificial intelligence and Decentralized Physical Infrastructure Networks (DePIN) are anticipated to drive a shift in performance dynamics. The daily chart shows BTC’s price surging above $100,000. Source: BTCUSDT on TradingView.com


At the time of writing, the market’s leading crypto has managed to reclaim the $101,820 level, recording a 2% increase in the 24-hour time frame. 


Featured image from DALL-E, chart from TradingView.com

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