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Bitcoin's Outlook Is Bullish With Prices Expected to Remain Elevated: Deutsche Bank

Ongoing presidential backing for digital assets is a key determinant for the continuation of 'crypto's golden era,' the report said.

Deutsche Bank logo (Shutterstock)
Bitcoin's outlook is bullish with prices expected to remain elevated: Deutsche Bank (Shutterstock)

What to know:

  • Bitcoin's outlook for 2025 is positive, the report said.
  • Deutsche Bank said a more favorable regulatory environment in the U.S. under President Trump, increased institutional adoption, and looser Federal Reserve monetary policy, are all expected to support the price of bitcoin.
  • Clarity about the formation of a strategic bitcoin reserve may be forthcoming in the first quarter, the bank said.

The outlook for bitcoin (BTC), the world's largest cryptocurrency, is positive, and its price is expected to remain elevated in 2025, German lender Deutsche Bank (DB) said in a report Wednesday.

A more favorable regulatory and political backdrop in the U.S., growing institutional adoption, and looser Federal Reserve monetary policy, are all expected to support the cryptocurrency's price, the report said.

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The Trump administration's support for crypto means the market's current bull run should continue, and ongoing presidential backing is key for the "continuation of crypto's golden era," analyst Marion Laboure wrote.

While President Trump didn't sign any crypto-related executive orders on his first day in office, the announcement that the Securities and Exchange Commission's (SEC) will develop a regulatory framework for digital assets is a first step towards an overhaul of the industry, the report said.

The appointment of Paul Atkins as SEC chair is also indicative of a "shift towards an innovation-friendly approach," Deutsche Bank noted.

With the Markets in Crypto-Assets (MiCA) regulation coming into force in the EU in December, the European crypto market now enjoys increased legitimacy and security, the report added.

More clarity about the potential establishment of a U.S. bitcoin reserve could be forthcoming in the first quarter, the bank said.

Read more: Bitcoin No Longer a Niche Investment as Institutional Adoption Takes Off: WisdomTree

Will Canny

Will Canny is an experienced market reporter with a demonstrated history of working in the financial services industry. He's now covering the crypto beat as a finance reporter at CoinDesk. He owns more than $1,000 of SOL.

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