Bitcoin and Ether projected to soar in 2025 with $300B DeFi boom

Steno Research predicts 2025 will be a groundbreaking year for cryptocurrencies, forecasting Bitcoin (CRYPTO:BTC) at $150,000 and Ether (CRYPTO:ETH) at $8,000.

This surge could set the stage for a vibrant altcoin market, driven by favorable conditions in regulation, macroeconomics, and institutional adoption.

The December report highlights “an unprecedentedly favorable regulatory environment,” improved liquidity, and post-Bitcoin-halving trends as factors supporting the bullish outlook.

Steno anticipates significant inflows into U.S.-based BTC and ETH exchange-traded funds (ETFs), estimating $48 billion for Bitcoin ETFs and $28.5 billion for Ethereum ETFs.

Ethereum is expected to outpace Bitcoin in growth, with its ETH/BTC ratio projected to rise to at least 0.06, nearly double its current level.

This shift, according to Steno, will reduce Bitcoin’s market dominance from 57% to 45%, paving the way for an altcoin season.

“Trump’s policies encourage robust onchain activity, which benefits altcoins such as Ethereum and Solana significantly,” the report noted, also links these developments to Donald Trump’s presidency.

Total value locked (TVL) in decentralised applications (DeFi) is expected to exceed $300 billion, surpassing the $180 billion record set in 2021.

Grayscale, another key player, shares the optimism.

The firm recently added Solana-based DeFi applications to its top tokens list for early 2025.

Grayscale attributes the shift to a warming U.S. policy environment under Trump, who has pledged to position the country as a global crypto leader.

“In the U.S., with Trump’s victory, I am aggressively bullish on the U.S. becoming a global leader in the space by the end of the year,” stated Raj Brahmbhatt, CEO of Web3 settlement firm Zeebu.

At the time of reporting, the Bitcoin price was $94,933.27, and the Ethereum price was $3,384.49.