Crypto market cycle 2025: Bitcoin reserve, stablecoin regulation are main drivers
Improving regulatory clarity in the U.S. could drive Bitcoin prices past $150,000, according to Alice Li from Foresight Ventures. The anticipated 2025 rally is attributed to U.S. policy changes, including President Trump's approval of Bitcoin reserves and developments in stablecoin regulations. The Senate is set to vote on the GENIUS Act, which aims to establish rules for stablecoin collateralization and compliance with Anti-Money Laundering laws. Li believes this legislation could influence other jurisdictions, particularly in Asia, to adopt similar measures. The passing of the GENIUS Act may set a precedent for innovation globally. Additionally, a potential interest rate cut by the Federal Reserve could further enhance Bitcoin's price momentum. In May, crypto VC deals fell to 62 rounds, raising $909 million, attributed to macroeconomic factors and seasonal liquidity patterns.
