Crypto News Catchup: Bold Predictions, Record Inflows, and Rising Regulation

The cryptocurrency market is buzzing with activity, from bold price predictions to regulatory developments and groundbreaking ETF performance. Analysts forecast Bitcoin could hit an astounding $250,000 by 2025, while Ethereum ETFs are attracting record-breaking inflows, signaling growing institutional interest. On the regulatory front, the Bank of England is tightening its grip on crypto risk assessments, and Japan is exploring the idea of a national Bitcoin reserve. As Bitcoin and altcoins chart their paths, technical patterns and market signals hint at both opportunities and caution for investors navigating this dynamic landscape.

A leading market strategist forecasts Bitcoin could climb to $250,000 by 2025, driven by surging demand from spot ETFs, reduced supply following the recent halving, and a favorable low-interest-rate environment.
The prediction also considers Bitcoin’s historical patterns, with major price peaks typically occurring 1-2 years post-halving. Despite potential short-term dips to $60,000, the long-term outlook suggests significant growth. However, investors are advised to approach cautiously due to Bitcoin’s volatility and the importance of timing gains during its brief surges.

BlackRock’s iShares Ethereum Trust ETF has seen a record-breaking inflow streak, pulling in $1.5 billion since November 20, including a $200 million boost on December 12. This marks a sharp acceleration in institutional interest, with the ETF now managing $3.6 billion in assets.
The surge coincides with Ethereum’s price climbing past $4,000, post-election momentum favoring crypto investments, and BlackRock’s focus on Bitcoin and Ethereum products. Globally, Ethereum investment products have attracted $3.5 billion over the same period, reflecting a growing confidence in the cryptocurrency despite its challenges in surpassing its 2021 peak.

Bitcoin’s ascent to new all-time highs has been underpinned by a significant technical reversal initiated on September 17, signaling a strong resurgence of bullish momentum. The price action followed a failure swing reversal pattern, with a rebound from $57,486.65—remaining above the prior low—before decisively breaking through the $60,594.64 resistance. This pivotal breakout set the stage for a sustained upward trend, further supported by prices rising above critical moving averages.
A notable driver of the rally was the emergence of a “Golden Cross,” where the 20-period Exponential Moving Average (EMA) crossed above the 50-period EMA, reinforcing bullish sentiment. Additionally, momentum indicators like the Momentum Oscillator and Relative Strength Index (RSI) breached key thresholds, with the former surpassing 100 and the latter moving above 50, further validating the positive price trajectory.
However, caution is warranted. A negative divergence between the price action and the Momentum Oscillator suggests potential short-term volatility or consolidation. This divergence raises the likelihood of the rally pausing or entering a corrective phase, warranting close monitoring of key support levels in the near term.

The Bank of England has mandated firms to report their crypto asset exposure and future plans by March 24, 2025, aiming to bolster financial stability and shape crypto regulations.
The directive, issued by the Prudential Regulation Authority (PRA), includes classifying crypto holdings under Basel standards, with stricter capital requirements for unbacked tokens and certain stablecoins. Firms must also address risks associated with permissionless blockchains and consider future scenarios under Basel implementation.
This initiative underscores global regulatory efforts to manage crypto-related risks, aligning with similar moves by financial authorities worldwide. Responses will guide the UK’s evolving approach to crypto oversight.

Japanese lawmaker Satoshi Hamada has proposed the creation of a national Bitcoin reserve following global discussions on stockpiling the cryptocurrency. On December 11, Hamada submitted the proposal to Japan’s National Diet, urging the government to consider this initiative amid Bitcoin’s recent surge to an all-time high of over $103,000.
Hamada’s proposal mirrors efforts by lawmakers in countries like the US, Brazil, Russia, and Poland, where interest in national Bitcoin reserves is growing. Despite representing a minor party, his plan may gain traction, particularly with support from influential figures like Yuichiro Tamaki, leader of Japan’s Democratic Party for the People, who advocates for cryptocurrency-friendly policies.
This push aligns with broader global momentum as governments evaluate Bitcoin’s potential as a strategic asset.

The cryptocurrency market is entering a pivotal phase marked by soaring price targets, record institutional inflows, and evolving regulatory frameworks. While Bitcoin’s potential to reach $250,000 and Ethereum’s ETF success fuel optimism, caution remains essential as volatility and regulatory developments loom large. As governments and institutions deepen their engagement with crypto assets, investors must balance ambition with prudence to navigate this rapidly evolving landscape.