Bitcoin (BTC) is poised to reach significant price milestones in 2025, backed by optimistic forecasts from Matrixport, Willy Woo, and other institutions.
With support from ETFs and a positive market sentiment, Bitcoin is a speculative asset and a promising long-term investment option. However, if the profitable supply exceeds 90%, the market must remain cautious of potential corrections.
Numerous Positive On-Chain Metrics
The Bitcoin market is showing encouraging signs as the supply on centralized exchanges (CEX) has dropped to a 7-year low. According to data from CryptoQuant, only about 2.492 million BTC remain on exchanges. This is a sharp drop from 2.488 million BTC, recorded on the previous Friday.
Moreover, CryptoQuant reports that the percentage of Bitcoin’s supply in profit has surpassed 85%, a historically high figure. However, they caution that if this ratio exceeds 90%, the market may enter a “historic euphoria” phase and face a correction. This suggests that while the current metrics are favorable, vigilance is required to navigate potential volatility.
Over the past seven days, Coinglass data recorded approximately 56,164.88 BTC being withdrawn from CEX platforms. This indicates that investors are accumulating and reducing selling pressure, which is often seen as a bullish signal. A reduced supply on exchanges lowers selling pressure, paving the way for price growth.
Additionally, new capital inflow into the market is rising. According to a CoinShares report, $3.2 billion poured into Bitcoin funds in the last week of April 2025. These factors are bolstering confidence that Bitcoin could soon hit significant price targets.
Experts’ Optimistic Forecasts for BTC
Amid a generally optimistic market outlook, numerous experts and organizations have expressed positivity regarding BTC’s price. Matrixport, a reputable crypto service platform, asserts that Bitcoin’s upward momentum is gaining strength.
In its latest analysis, Matrixport indicated that Bitcoin is approaching the $106,000 resistance level, with a strong likelihood of breaking through this mark soon. Previously, Matrixport had predicted that new capital inflows into the market would propel Bitcoin past the $100,000 threshold.
Willy Woo, a renowned analyst in the crypto industry, also shared an optimistic view on X. He believes that Bitcoin’s fundamentals have shifted to a bullish state, with the market likely to either move sideways or rise slowly in the coming period.
“BTC fundamentals have turned bullish, not a bad setup to break all-time highs,” he stated.
Woo emphasized that the “bullish ascending triangle” pattern he previously mentioned is forming, signaling a potential strong upward move if Bitcoin breaks through the resistance level.
Furthermore, a Coinness report revealed that 45.4% of South Korean investors believe Bitcoin will outperform gold in the next six months. It reflects strong confidence from a key Asian market.
Additionally, as reported by BeInCrypto, ARK Invest predicts that Bitcoin’s price could reach $2.4 million by 2030, driven by the growth of Bitcoin ETFs and increasing adoption by financial institutions. These long-term forecasts further reinforce the belief that Bitcoin’s potential extends far beyond the $100,000 mark, with significant growth prospects in the future.
The leading altcoin, Ethereum, experienced a challenging month in March, marked by a series of bearish trends that reflected a broader market slowdown.
However, as the market begins to show signs of recovery, the key question for April remains: Can Ethereum regain its bullish momentum?
Ethereum’s March Woes: Price Crash, Activity Slump, and Growing Supply Pressure
On March 11, Ethereum plummeted to a two-year low of $1,759. This prompted traders to “buy the dip,” triggering a rally to $2,104 by March 24.
However, market participants resumed profit-taking, causing the coin’s price to fall sharply for the rest of the month. On March 31, ETH closed below the critical $2,000 price level at $1,822.
Amid ETH’s price troubles, the Ethereum network also experienced a severe decline in activity in March. Per Artemis, the daily count of active addresses that completed at least one ETH transaction fell by 20% in March.
As a result, the network’s monthly transaction count also plummeted. Totaling 1.06 million during the 31-day period in review, the number of transactions completed on Ethereum fell by 21% in March.
Generally, as more users transact and engage with Ethereum, the burn rate (a measure of ETH tokens permanently removed from circulation) increases, contributing to Ether’s deflationary supply dynamic. However, when user activity drops, ETH’s burn rate reduces, leaving many coins in circulation and adding to its circulating supply.
This was the case for ETH in March when it saw a spike in its circulating supply. According to data from Ultrasound Money, 74,322.37 coins have been added to ETH’s circulating supply in the past 30 days.
Usually, when an asset’s supply spikes like this without a corresponding demand to absorb it, it increases the downward pressure on its price. This puts ETH at risk of extending its decline in April.
What’s Next for Ethereum? Expert Says Inflation May Not Be a Major Concern
In an exclusive interview with BeInCrypto, Gabriel Halm, a Research Analyst at IntoTheBlock, noted that ETH’s current inflationary trends “may not be a major red flag” to watch out for in April.
Halm said:
“Even though Ethereum’s supply has recently stopped being deflationary, its annualized inflation rate is still only 0.73% over the last month, which is still dramatically lower than pre-Merge levels and lower than that of Bitcoin. For investors, this moderate level of inflation may not be a major red flag, provided that network usage, developer activity, and institutional adoption remain robust.”
Moreover, regarding whether Ethereum’s declining network activity has played a significant role in its recent price struggles, Halm suggested that its impact may be overstated.
“Historically, from September 2022 to early 2024, Ethereum’s supply remained deflationary, yet the ETH/BTC pair still trended lower. This suggests that macroeconomic and broader market forces can play a far more significant role than token supply changes alone.”
ETH/BTC Market Cap Comparison. Source: IntoTheBlock
On what ETH holders should anticipate this month, Halm said:
“Ultimately, whether Ethereum dips or rallies in April will likely depend more on market sentiment and macro trends than on its short-term supply dynamics. Still, it’s essential to keep an eye on network developments that could spur renewed activity and reinforce ETH’s leading position in the broader crypto landscape.”
Since its launch in late March, World Liberty Financial’s stablecoin USD1 has achieved an impressive market capitalization, reflecting strong investor interest. If the creators want to maximize USD1’s reach by accessing markets abroad, particularly in Europe, they must confront MiCA’s extensive compliance list.
In a BeInCrypto interview, experts from Foresight Ventures, Kaiko, and Brickken stressed the importance of stablecoin issuers having substantial European bank reserves, operational volume caps protecting the euro, and transparent USD1 information to ensure transparency and avoid conflicts of interest.
USD1’s Search for Dollar Dominance
World Liberty Financial (WLF), a decentralized finance (DeFi) project heavily associated with the Trump family, officially launched USD1 a month ago. Through this stablecoin, WLF aims to promote dollar dominance worldwide.
So far, this initiative has been working well for WLF. According to CoinGecko, USD1 has now surpassed a market capitalization of $128 million and reached a 24-hour trading volume of nearly $41.6 million. The project has already released 100% of its total supply of 127,971,165 tokens.
USD1’s market capitalization over the past 24 hours. Source: CoinGecko.
For WLF to seriously establish dollar dominance across the globe, it will have to move fast and efficiently. This urgency stems from the need to surpass its main competitors, USDT and USDC. These rivals currently hold a massive market share advantage.
Additionally, there’s a need to maintain a competitive advantage against established currencies like the euro.
USD1 needs to access foreign markets and stand out from established competitors to achieve this. Should Europe become a primary target, USD1 must prepare to tackle numerous challenges head-on.
The EU’s Stringent Compliance Demands
The European Union (EU) became the first jurisdiction in the world to establish a comprehensive regulatory framework for digital assets across its 27 member states. This regulation, known as Markets in Crypto-Assets (MiCA), has been in effect for nearly four months. Through this legislation, the EU has confirmed how seriously it takes compliance with a defined regulatory regime.
The regulation is detailed and clear, leaving no room for interpretation. If USD1 wants to operate in this crypto market of 31 million users, it must ensure it meets every demand.
US Senators Flag Risks of Presidential Involvement in USD1
In the letter, the group asked both agencies to clarify how they plan to uphold regulatory integrity following the issuance of USD1.
The Senators cautioned that letting a president personally benefit from a digital currency overseen by federal agencies he has sway over is a big risk to the financial system. They argued that an unprecedented situation like this one could hurt people’s trust in how regulations are made.
“The launch of a stablecoin directly tied to a sitting President who stands to benefit financially from the stablecoin’s success presents unprecedented risks to our financial system,” they argued.
The letter further detailed situations where Trump could directly or indirectly affect decisions regarding USD1.
As things stand, USD1 isn’t well-prepared to follow MiCA’s strict reporting and transparency rules.
How Do Concerns Over USD1 Impact MiCA Acquisition?
According to Ianeva-Aubert, if USD1 doesn’t clear up doubts over potential conflicts of interest, this would affect its ability to apply for an operating license in the European Union.
“MiCA requires strong governance, including independent directors and clear separation between owners and managers. Issuers must have clear rules to handle conflicts of interest. If USD1 has any conflicts, this could make it harder to comply,” she said.
Ianeva-Aubert also highlighted that WLF still hasn’t released enough public information on USD1 to assess the degree of its compliance effectively. In particular, the stablecoin issuer has not disclosed the measures it would take to safeguard against market manipulation.
As of now, USD1 would likely fail MiCA’s transparency tests. However, industry experts pointed out other parts of the framework that might be even larger obstacles for USD1 to operate across the European Union.
Impact of the EU’s Reserve Mandate on USD1
When asked about the biggest regulatory hurdles USD1 would face in securing a MiCA license, experts’ responses were unanimous. The stablecoin would need to store a large portion of its reserves in a European bank.
This mandate has proven difficult for established stablecoin issuers seeking operations across the region.
This regulation aims to ensure seamless accessibility for European crypto users and traders. For Forest Bai, Co-founder of Foresight Ventures, USD1 could capitalize on this opportunity during the early stages of its development. By doing so, it could avoid some of the obstacles its competitors had to endure.
Yet, even as USD1 scales and its demand grows, other mandatory requirements could restrict its scope of success.
MiCA’s Transaction Volume Caps to Preserve Euro Dominance
As part of the MiCA regulation, the European Union has taken specific measures to safeguard the euro’s dominance. If a digital currency not denominated in euros were to become extensively adopted for daily payments within Europe, it could present a potential risk to the European Union’s financial sovereignty and the stability of the euro.
To contain this possibility, MiCA places volume caps on transactions used as a means of exchange within the EU.
In other words, MiCA establishes predefined limits on the transactional volume of such currencies. The EU initiates regulatory measures when these limits are exceeded due to widespread payment usage.
Specifically, USD1 issuers must suspend any further digital currency issuance and provide a remediation plan to the relevant regulator, outlining steps to ensure their usage does not negatively impact the euro.
If USD1 wants to work in places where it can experience uninhibited growth, the European market might not be the best fit for this stablecoin. Other parts of MiCA also suggest this could be the case.
MiCA Limitations to Stablecoins as Investment Vehicles
EU regulators have been clear that stablecoins, or e-money tokens (EMTs), as the regulation refers to them, are payment instruments that should not be confused with investment vehicles. The MiCA framework has a few rules in place to prevent this.
Given the circumstances, experts like Bai think WLF might want to focus on countries with better market conditions for stablecoin issuers.
Should WLF Consider the EU Market for USD1 Operations?
While the European Union has an undeniable crypto market presence, other jurisdictions have an even larger footprint.
”The EU’s crypto market remains comparatively small, with just 31 million users versus Asia’s 263 million and North America’s 38 million users, according to a report from Euronews. This limited market size may not justify MiCA compliance costs for projects, like WLFI,” Bai told BeInCrypto, adding that “Projects ultimately determine their own growth strategy. Given that, currently, the EU represents a secondary market for USD1, the project’s strategic priorities may naturally shift toward regions with less stringent stablecoin regulations to drive its adoption.”
These circumstances alone may prompt USD1 to reconsider its options.
In fact, USD1 could start by gaining a competitive edge right at home.
USD1’s Political Backing at Home
With a crypto-friendly president in office –whose very crypto project officially announced the launch of USD1– the stablecoin has sufficient backing to make its mark.
Looking past the immediate future, Bai underlined that if the US doesn’t keep developing supportive crypto regulations, USD1’s growth in the country could be held back following a government shift.
Given this reality, USD1’s failure to comply with the EU’s regulations, should it ever even consider applying for a MiCA license in the first place, could have negative consequences for the project’s long-term viability.
Regardless of the markets WLF evaluates in its efforts to increase the reach of USD1, compliance with general stipulations concerning transparency, legal architecture, and real-time transaction oversight could be conducive to its eventual success.
March 2025 is witnessing a significant wave of changes in how US states approach cryptocurrency. Several states are actively introducing and passing legislative initiatives to promote crypto adoption.
Recent developments over the past week indicate a clear shift. US lawmakers no longer see cryptocurrency solely as a speculative asset but as a strategic part of the financial future.
Kentucky: Protecting Bitcoin Rights and Crypto Mining
One of the most notable advances this month comes from Kentucky. On March 24, the state governor signed the “Blockchain Digital Asset Act” (HB701) into law after the state Senate passed it with an overwhelming 37-0 vote.
This law protects residents’ right to self-custody Bitcoin while also legalizing and incentivizing crypto mining. It signals that Kentucky aims to safeguard individual rights in the crypto space and position itself as a potential blockchain mining hub.
With abundant energy resources from coal and hydropower, the state has a competitive advantage in attracting crypto-mining companies. Data shows that Kentucky accounts for 11% of the US Bitcoin hashrate.
North Carolina: Crypto in Pension Funds and Strategic Reserves
North Carolina lawmakers are taking things a step further by proposing cryptocurrency integration into the public financial system.
According to Bitcoin Law, Bill H506, introduced on March 24, allows up to 5% of the state’s public funds to be invested in digital assets. Similarly, Bill S709, which also permits a 5% public fund allocation, was submitted to the Senate on Tuesday.
If passed, these initiatives would mark a major turning point. North Carolina could become one of the pioneering states using cryptocurrency to protect public funds from inflation and economic volatility. Lawmakers are accelerating discussions, with expectations of a decision in the coming weeks.
Arizona: Advancing Toward Digital Asset Reserves
Arizona is also joining the race. The state’s House Rules Committee recently approved two bills: The Digital Assets Strategic Reserve Fund Bill (SB1373) and The Arizona Bitcoin Strategic Reserve Act (SB1025).
SB1373 allows the creation of a digital asset reserve funded by assets seized in criminal cases managed by the state treasurer. The treasurer can invest up to 10% of the reserve annually and lend assets to generate additional revenue as long as financial risks remain controlled.
Meanwhile, SB1025 permits the Arizona state treasury and pension system to invest up to 10% of their funds in Bitcoin. If a federal Bitcoin reserve fund is established, Arizona’s Bitcoin reserves could be securely stored in a separate account within that fund.
Additionally, last week, the Oklahoma House passed the Strategic Bitcoin Reserve Bill (HB1203).
This bill allows the Oklahoma State Treasurer to invest public funds from the State General Fund, Revenue Stabilization Fund, and Constitutional Reserve Fund in Bitcoin and other large-market digital assets (those with a market cap exceeding $500 billion), as well as stablecoins.
Half of the US States Have Introduced Bitcoin Reserve Bills
According to Bitcoin Law, 23 out of 50 US states have introduced Bitcoin reserve bills. Matthew Sigel, Head of Digital Assets Research at VanEck, believes that if enacted, these bills could drive significant Bitcoin purchases.
States Have Introduced Bitcoin Reserve Bills. Source: Bitcoin Law
“We analyzed 20 state-level Bitcoin reserve bills. If enacted, they could drive $23 billion in buying, or 247,000 BTC. This sum is independent of any pension fund allocations, likely to rise if legislators move forward,” Sigel predicted.
