Should You Buy Bitcoin Now in 2025? Future Outlook and Price Predictions for Cryptocurrency

Bitcoin, the leading cryptocurrency, continues to attract widespread interest, especially when considering its future price potential. The key question many investors ask is whether Bitcoin will continue to rise in value.

In summary, Bitcoin is likely to appreciate further in the future. Factors such as increasing institutional adoption, technological advancements, the upcoming halving events, and growing recognition as a store of value contribute to this optimistic outlook.

While volatility and regulatory risks remain, the overall trend and market developments suggest that Bitcoin’s value could increase significantly in the coming years. Therefore, now may be a suitable time to consider buying Bitcoin, provided you manage your risks and invest wisely.

Bitcoin’s Future Holds Significant Potential

Bitcoin has been popular for years, but many wonder if its value will continue to rise. The answer is clear: Bitcoin’s future remains promising, with strong potential for continued growth.

Factors such as increasing institutional adoption, broader use in payment systems, and the scarcity enforced by halving events suggest that Bitcoin’s value could rise further. As the market matures and cryptocurrencies gain mainstream acceptance, the demand for Bitcoin is likely to remain strong, supporting its long-term price appreciation.

Ranked First in Market Capitalization

Bitcoin consistently ranks at the top of the cryptocurrency market capitalization rankings.

This is due not only to being the first cryptocurrency developed but also to the highly secure system enabled by blockchain technology.

Cryptocurrencies with high market capitalization attract attention from individual investors and financial institutions considering cryptocurrency investments, resulting in substantial capital inflows.

Therefore, Bitcoin’s price is expected to rise, and during bearish markets, altcoins (cryptocurrencies other than Bitcoin) are likely to be sold off first.

A Fixed Maximum Supply Limit

Bitcoin maintains its scarcity by limiting the total supply, with a maximum issuance capped at 21 million coins.

As of November 2024, less than 10% of the total supply remains to be mined, and a significant amount of Bitcoin is either inaccessible or lost from wallets.

Given that the actual circulating supply is likely lower than the issued amount, this scarcity increases Bitcoin’s value and could lead to future price appreciation.

Demand for Bitcoin continues to grow as cryptocurrency becomes more widely recognized, making it harder to acquire new coins.

For those considering holding Bitcoin, it is recommended to purchase sooner rather than later.

Growth of the Lightning Network Is Anticipated

The growth of the Lightning Network is highly anticipated in the Bitcoin ecosystem. The Lightning Network enables seamless Bitcoin transactions with minimal costs.

While this technology is still in development and not widely adopted, interest in the Lightning Network is increasing, and the amount of cryptocurrency deposited on the network is also rising. Further advancements in this technology could make Bitcoin transactions even more secure and convenient, potentially driving future price increases.

Peer-to-Peer (P2P) System Allows Flexible Payments and Transfers

Bitcoin uses a P2P (peer-to-peer) system, allowing users to make payments and transfers without needing a bank account. In a P2P system, data is exchanged directly between devices, bypassing servers—similar to applications like LINE or file-sharing software.

In developing countries, many people are unbanked and cannot make bank transfers. Bitcoin’s P2P system addresses this issue, offering low-fee transactions, making it attractive to people in developing nations and beyond.

Major Corporations Are Entering the Bitcoin Market

In recent years, more major corporations have entered the Bitcoin market. In June 2021, Citigroup, one of the four largest U.S. banks, established a department specializing in cryptocurrency and blockchain. In mid-August 2022, BlackRock launched a Bitcoin trust for institutional investors.

This trend suggests an increasing number of institutional investors will find it easier to invest in Bitcoin. Additionally, in August 2022, the UK-based Brevan Howard launched a crypto-focused hedge fund, raising approximately 140 billion yen.

These large investments highlight the strong confidence major corporations have in Bitcoin’s potential.

How High Could It Go? Bitcoin Price Forecast for 2025

According to Standard Chartered Bank, a major British financial institution, the price of Bitcoin (BTC) could rise to $150,000 (approximately 23.5 million yen) by the end of 2024.

In April 2023, the bank initially forecasted that Bitcoin would reach $100,000 by the end of 2024, but the latest prediction has increased by $50,000.

In fact, leading up to the April 2024 halving, Bitcoin’s price surged significantly, briefly surpassing $70,000. Even after the halving, the price has remained relatively stable. Keep a close watch on future price movements.

Should You Buy Now? Identifying the Right Time to Buy Bitcoin Based on 2020s Price Trends

If you’re wondering whether now is the right time to buy Bitcoin, analyzing the price fluctuations in the 2020s can provide valuable insights. By looking at recent significant price changes, you can identify potential buying opportunities.

Considering price movements influenced by various events, the following moments can be identified as good opportunities to buy Bitcoin.

Let’s take a closer look.

October 2020: PayPal Announces Cryptocurrency Payments

In October 2020, PayPal announced the introduction of cryptocurrency payments, which triggered significant interest from institutional and retail investors. This announcement caused Bitcoin’s price to surge. When Bitcoin gains widespread attention and excitement from society and investors, it often marks an optimal buying opportunity.

April 2021: Coinbase Listed on NASDAQ

In April 2021, Coinbase became the first cryptocurrency exchange to be directly listed on NASDAQ. This major event drove Bitcoin’s price above 7 million yen, setting a new all-time high. When cryptocurrency exchanges are listed or significant financial milestones occur, the resulting optimism can make it a strategic time to invest.

May 2021: Tesla and China-Related Market Downturn

In May 2021, Tesla announced the suspension of Bitcoin payments due to environmental concerns. Around the same time, China tightened regulations on Bitcoin mining. These negative events caused Bitcoin’s price to plummet, reducing its value by half. While such declines present risks, they also offer opportunities to buy Bitcoin at a lower price — but timing is critical.

October 2021: First U.S. Bitcoin Futures ETF Approved

In October 2021, the U.S. SEC approved the first Bitcoin futures ETF, boosting confidence among investors. This development led to Bitcoin reaching another all-time high in November 2021. Additionally, the successful implementation of the Taproot upgrade further supported market growth. Regulatory approvals and technical upgrades often signal a favorable time to invest.

May 2022: Global Monetary Tightening and Market Decline

In May 2022, global central banks introduced monetary tightening measures to combat inflation. This triggered a decline in risk assets, including Bitcoin. The situation worsened in November 2022 with the collapse of the major crypto exchange FTX, causing further panic and price drops. During these volatile periods, waiting for the market to stabilize before making significant investments is advisable.

January 2024: Approval of 11 Bitcoin Spot ETFs

In January 2024, the U.S. SEC approved 11 Bitcoin spot ETFs, allowing investors to trade Bitcoin through traditional stock exchanges. This milestone, combined with anticipation for the April 2024 halving, drove Bitcoin’s price past $70,000. As Bitcoin continues to gain mainstream acceptance, such periods of positive sentiment can be seen as wise buying opportunities.

Risks and Precautions to Know Before Buying Bitcoin

Cryptocurrencies, including Bitcoin, come with inherent risks and important considerations for investors. Being aware of these risks helps you navigate the market more safely.

Risk of Cryptocurrency Exchange Hacks

When using a cryptocurrency exchange, you need to be aware of the potential risk of hacking. If an exchange is hacked, withdrawals and deposits may be suspended, and cryptocurrency trading could be halted.

This can lead to the loss of your invested funds or unintended financial losses. Additionally, since compensation policies differ between exchanges, it’s essential to check beforehand whether your funds are protected.

To mitigate this risk, trade on reputable exchanges and implement strong personal security measures. Use complex passwords and avoid using public Wi-Fi to maintain security.

Risk of Government Regulation

Cryptocurrencies are still relatively new, and regulations are not fully established in many countries. Therefore, governments may impose new regulations that impact trading.

For instance, while Japan currently allows peer-to-peer (P2P) cryptocurrency trading, new regulations could significantly affect Bitcoin’s price. Stay informed about regulatory changes and monitor Bitcoin-related news to anticipate potential market impacts.

Price Volatility Risk

Bitcoin’s price can fluctuate dramatically since it does not have mechanisms like “limit down” or “limit up” seen in stock markets. While there is potential for significant profit, there is also the risk of substantial losses.

Some exchanges implement a “circuit breaker” system to temporarily halt trading during extreme price movements, but this is a short-term solution. To manage this risk, be prepared to cut losses early by setting clear stop-loss levels.

Risk of Self-Inflicted Loss (Self-Gox)

Self-Gox refers to losing your cryptocurrency due to personal mistakes. In Bitcoin transactions, you manage your assets using a private key. If you lose your private key, you lose access to your Bitcoin.

Mistakes like losing your wallet password or sending funds to the wrong address are also forms of Self-Gox. To avoid these issues, regularly back up your wallet, securely store your private key and passwords, and double-check transaction details before sending funds.

Conclusion

Bitcoin, with its scarcity and promising future, remains a cryptocurrency with strong potential for further price increases. Many major companies are already paying attention to Bitcoin, with some actively investing in it.

Stay diligent with information gathering and market trends to ensure you don’t miss out on opportunities for price gains.