Bitcoin Price Prediction 2025: Why Bitcoin Is Rising?
Spot Bitcoin ETF Inflows Hit Record Highs
The accumulation of spot Bitcoin ETFs has seen a dramatic surge, coinciding with the recent upward momentum in BTC prices. According to data from Coinglass, spot Bitcoin ETFs recorded inflows exceeding $900 million in a single trading day, marking one of the largest inflow events in history.
Weakening US Dollar Boosts Bitcoin Rally
As the U.S. dollar shows signs of weakening in the coming days, many analysts believe this could further support Bitcoin’s bullish momentum. A weaker dollar often drives increased interest in alternative assets like Bitcoin.
Institutional Accumulation Drives BTC Beyond $99,000
In Lookchain’s post, it is highlighted that Bitcoin has reclaimed the $99,000 mark. The post mentions that whales and institutions are actively accumulating Bitcoin.
Specifically, two fresh wallets withdrew a total of 261 BTC, worth approximately $25.9 million, from Binance today. Additionally, Kulr Technology (@KULRTech) received 213.4 BTC, valued at $21.09 million, from Coinbase Prime two hours ago and currently holds a total of 430.6 BTC, valued at $42.71 million.
Liquidations Surge as Traders Face High Volatility
In the past 24 hours, a total of 66,100 traders faced liquidations, amounting to $150.59 million. Over the last 4 hours, Bitcoin liquidations reached $8.33 million, with $6.95 million coming from short positions and $1.39 million from long positions.
Trading Metrics Signal Rising Interest
Open Interest has risen by 2.57%, now standing at $57.72 billion, while trading volume has surged by 71.52% to $52.00 billion.
Potential Pullback in Bitcoin Rally
Thielen cautions about a potential Bitcoin pullback later in January as the Federal Reserve’s January 29 FOMC meeting may hold interest rates steady, potentially slowing BTC’s momentum. He predicts Bitcoin trading between $97,000 and $98,000 by the end of January, reflecting macroeconomic influences.
Long-Term Bitcoin Price Predictions
John Glover of Ledn forecasts a short-term dip to $89,000, followed by a rebound to $125,000 by the close of Q1. He also predicts BTC reaching $160,000 by late 2025. These estimates slightly lag VanEck and Bitwise’s projections of $180,000–$200,000.
Market Sentiment Remains Strong
Despite short-term caution, Bitcoin recently spiked to $98,850, demonstrating robust investor confidence. The Crypto Fear and Greed Index has risen to “Extreme Greed” at 76/100, reflecting high levels of market optimism.
What Next For Bitcoin?
According to Benjamin Cowen, Bitcoin’s recent behavior mirrors its pattern from one year ago. Historically, BTC saw an early January spike, a late-January dip, and a more sustained recovery in February, suggesting a similar trajectory this year.