Earlier, Jag Kooner, head of derivatives at Bitfinex, has revealed that “A Federal Reserve interest rate cut could help Bitcoin end the year at “record-breaking levels”.

This is coming days after a report by crypto services provider Matrixport, also alleged that Bitcoin’s value is projected to soar to $160,000 by 2025, driven by favorable macroeconomic trends and easing global monetary policies.

On December 6th, Bitcoin surpassed the long-anticipated $100,000 milestone, reaching $101,092—a significant moment in cryptocurrency history. Contributing to Bitcoin’s bullish outlook, the European Central Bank (ECB) reduced its key interest rate by 25 basis points to 3% on December 12 to stimulate investment and economic growth.

Similarly, the People’s Bank of China cut its benchmark one-year lending rate by 40 basis points to 5.6% on November 21, marking its first rate cut in over two years amid a slowing economy.

Kooner highlighted the global trend of monetary easing as a potential catalyst for increased investment in riskier assets like Bitcoin: “This dual easing could drive capital flows into risk-on markets, including crypto. Combined with the traditional December market optimism, this could spark a ‘Santa rally,’ pushing Bitcoin and other cryptocurrencies higher as investors allocate more capital to the space.”

However, the Federal Reserve’s upcoming monetary policy decision on December 18 may significantly influence Bitcoin’s trajectory through the end of 2024. Looking ahead, Matrixport predicts Bitcoin could exceed $160,000 in 2025.

“Our analysis suggests Bitcoin could reach $160,000 by 2025, representing a 60% upside,” Matrixport noted in a December 13 post. “This projection is supported by sustained demand for Bitcoin ETFs, evolving macroeconomic conditions, and the growing global liquidity pool.”

We remain bullish, BTC to the moon!