The firm anticipates a bullish trend driven by favorable macroeconomic conditions, regulatory advancements, and increasing institutional interest.

Bitcoin and Ethereum Set for Unprecedented Highs

The 2025 price prediction for Bitcoin and Ethereum is bullish. Steno Research forecasts Bitcoin’s price to surpass $150,000, while Ethereum could exceed $8,000. These projections reflect a confluence of factors, including a more favorable regulatory environment, declining interest rates, and strong liquidity conditions.

Source: X

The report highlights the significant role of Bitcoin’s halving cycle—a recurring event approximately every four years that historically triggers alt-season-style price surges. “Post-halving dynamics, coupled with growing institutional adoption, create an unparalleled growth opportunity for major cryptocurrencies,” noted the research.

Institutional Inflows and ETF Expansion

Institutional investment is expected to play a pivotal role in 2025, with Steno predicting net inflows of $48 billion into Bitcoin exchange-traded funds (ETFs) and $28.5 billion into Ethereum ETFs. These inflows are seen as evidence of increasing confidence in digital assets as mainstream investment options.

Source: Ash Crypto via X

“The advent of U.S.-based Bitcoin and Ethereum ETFs is a game-changer, providing institutional investors with regulated avenues to gain exposure,” the report emphasized.

Ethereum Leading the Altcoin Surge

Steno Research predicts Ethereum will outperform Bitcoin in 2025, with the ETH/BTC ratio expected to reach at least 0.06, nearly doubling from its current level of 0.035. This outperformance could signal the onset of an “altcoin season,” characterized by broader interest in alternative cryptocurrencies.

Ethereum (ETH) price chart. Source: Ethereum Liquid Index (ELX) via Brave New Coin

Bitcoin’s dominance—the share of its market capitalization relative to the entire crypto market—is projected to decline from 57% to 45%, paving the way for other digital assets like Ethereum and Solana to thrive. “Ethereum’s growing ecosystem and robust on-chain activity position it as a leader among altcoins,” the note explained.

Trump Presidency: A Catalyst for Crypto Growth

The potential return of Donald Trump to the U.S. presidency is seen as another significant factor influencing the market. Trump’s administration has pledged to appoint crypto-friendly regulators and position the United States as a global leader in the blockchain industry.

“A Trump-led administration could reduce regulatory uncertainties and create an environment conducive to innovation in decentralized finance (DeFi) and blockchain applications,” said Raj Brahmbhatt, CEO of Web3 settlement platform Zeebu.

Decentralized Finance on the Rise

The total value locked (TVL) in decentralized applications (dApps) is forecasted to surpass $300 billion in 2025, a significant leap from its 2021 peak of $180 billion. This growth reflects the increasing utility and adoption of blockchain-based financial services.

Other industry leaders echo Steno’s optimism. Asset management firm Grayscale has added several DeFi tokens, including those built on Solana, to its 2025 watchlist. “The evolving U.S. policy landscape and rising institutional interest are driving forces behind this renewed confidence,” Grayscale stated.

Regulatory Landscape: A Shift in Priorities

As the Republican Party prepares to introduce a comprehensive crypto market structure bill within the first 100 days of the upcoming legislative session, industry stakeholders are optimistic about greater regulatory clarity. Representative French Hill emphasized, “Establishing clear guidelines for digital assets is a top priority.”

The Securities and Exchange Commission (SEC), often criticized for its “regulation-by-enforcement” approach, may face reduced scrutiny under Trump’s administration. Experts anticipate a shift in regulatory focus, with fewer resources allocated to prosecuting crypto-related offenses.

A Transformational Year Ahead

With a blend of regulatory support, technological advancements, and institutional adoption, 2025 is shaping up to be a pivotal year for the cryptocurrency industry. Steno Research’s projections underscore the sector’s potential for growth, innovation, and mainstream acceptance, setting the stage for what could be its most remarkable year yet.