The recent approval of 11 spot Bitcoin ETFs by the SEC in early 2024 has enhanced market confidence and improved accessibility for traders.

Bitcoin (BTC), the first and largest cryptocurrency by market capitalization, is recognized as a medium of exchange, a store of value, and a potential hedge against inflation.

As of late November 2024, Bitcoin reached a high of nearly $99,656, fueling speculation about its potential to cross the $100,000 mark soon.

Economic developments, particularly policies from President-elect Trump, could significantly influence Bitcoin prices, as historical trends suggest strong market reactions to his election outcomes.

Macroeconomic factors, including inflation and interest rates, play a critical role in shaping Bitcoin's investment appeal, especially amid rising geopolitical tensions.

A recent CoinGecko survey revealed that 43.7% of participants believe Bitcoin will exceed $100,000 before the end of 2025.

Bernstein analysts project that Bitcoin could reach $200,000 by the end of 2025, driven by factors such as increasing ETF demand and potential political shifts.

Despite mixed predictions for Bitcoin's price in 2025, Fundstrat Capital's Thomas Lee remains optimistic about its performance over the next year.

Market analysts express caution regarding long-term predictions for Bitcoin due to its unpredictable nature, particularly following its rapid rise in late 2024.

Market sentiment, influenced by media and social networks, can lead to swift price fluctuations, as evidenced by the Crypto Fear and Greed Index showing extreme greed at 94/100.

Potential risks in the Bitcoin market include significant volatility and unpredictable price movements, underscoring the need for effective risk management strategies.

The recent halving event on April 20, 2024, which reduced mining rewards, is historically linked to price increases, although immediate effects were not observed this time.