A comprehensive market survey by HashKey Group suggests Bitcoin could surge beyond $300,000 in 2025, driven by unprecedented institutional capital flows and growing mainstream financial adoption.
The Hong Kong-based digital asset firm's annual prediction report gathered input from nearly 50,000 community members.
It comes as Wall Street deepens its commitment to crypto, with several major financial stalwarts opting to provide services tied to the industry.
The crypto market is "poised for extraordinary growth," HashKey Group Chairman and CEO Dr. Xiao Feng said in the market predictions post published Tuesday evening.
It comes as Bitcoin reclaimed the $100,000 level earlier on Wednesday as inflation numbers and CPI data were released.
That followed a volatile week in which expectations surrounding the macroeconomic data resulted in significant institutional outflows.
HashKey Group's top prediction sees the narrative for Bitcoin as "digital gold" continuing well into this year, projecting a crypto market capitalization of $10 trillion before the year ends. Crypto’s market cap sits at roughly $3.64 trillion, according to CoinGecko.
Modest prospects
Maelstrom Fund CIO Arthur Hayes recently predicted a crypto market peak between mid to late March, citing a "positive dollar liquidity environment" as the "Trump dump" from December levels off.
"Bitcoin’s decentralized, inflation-resistant nature challenges the dominance of gold and U.S. Treasury bonds," Ben El-Baz, Managing Director of HashKey Global, told Decrypt.
These attributes, El-Baz explained, are key to "speeding up the financial system's diversification and digitization.”
Meanwhile, HashKey's survey also predicts that Wall Street's involvement in crypto could drive a "digital oil" narrative for Ethereum, which it predicts could reach around $8,000 by the end of the year.
With "concerns over inflation, currency devaluation, and geopolitical instability" on the rise, El-Baz points to Bitcoin as a long-term investment that could attract "institutional investors seeking diversification."
HashKey also sees Security Token Offerings, exchange-traded funds, and Central Bank Digital Currencies as key drivers that could collectively bring some $3 trillion in fresh capital to crypto markets.
Riding the wave
This institutional wave follows the approval of several U.S. spot Bitcoin ETFs a year ago and growing interest in corporate treasury diversification led by MicroStrategy.
Countries worldwide are also jumping on the bandwagon with considerations for stockpiling Bitcoin as a national reserve.
Supporting those bullish projections, ARK Invest's December 2024 Bitcoin report highlights strong underlying market fundamentals.
"All post-halving years have ended with positive returns. 2025 is a post-halving year," ARK wrote.
While on-chain metrics present a mixed picture with signs of the derivatives market overheating, broader economic tailwinds show that "short-term overheated conditions" in the Bitcoin market could continue, ARK added.
Notably, over 62% of Bitcoin's circulating supply has remained unmoved for over a year, data from ARK’s report shows, indicating robust behavior among Bitcoin investors to continue to hold the asset.
Editor's note: Updated to include comments from HashKey
Edited by Sebastian Sinclair