Bitcoin (BTC) could surge to $250,000 by the end of 2025, according to Fundstrat’s head of research Tom Lee. In a recent interview that follows Bitcoin’s recent test of $110,000 levels, Lee outlined several compelling factors supporting this ambitious price target.
Supply Squeeze: 95% of Bitcoin Already Mined
The fundamental case for Bitcoin’s potential rally centers on an increasingly tight supply situation. Lee highlighted that approximately 19.80 million bitcoins have already been mined out of the maximum 21 million supply cap, representing 95% of all Bitcoin that will ever exist. This scarcity factor becomes even more significant when considering that only about 5% of the global population currently owns any Bitcoin.
Price Trajectory and Market Dynamics
Despite Bitcoin’s recent dip from its all-time high of $111,970 to around $104,000, Lee maintains his bullish outlook. His forecast suggests:
- $150,000 by December 2025
- Potential stretch to $200,000-$250,000 with increased demand
- 140% upside from current levels around $104,000
Long-term Valuation Model
Lee’s analysis extends beyond near-term predictions, suggesting Bitcoin could eventually match gold’s market capitalization of approximately $23 trillion. This would translate to:
- Minimum $1.15 million per Bitcoin (20 million circulating supply)
- Potential for $2-3 million per coin in bull case scenarios
- 2,300% appreciation from current levels
Supporting Analysis from Major Institutions
VanEck’s research aligns with Lee’s long-term outlook, with their head of digital asset research Matthew Sigel projecting $3 million per Bitcoin by 2050. This institutional backing adds credibility to the bullish narrative, especially as major whales continue accumulating Bitcoin above $100,000 levels.
FAQ Section
What factors could drive Bitcoin to $250,000?
Limited supply (95% already mined), increasing institutional adoption, and growing retail participation are key drivers.
When could Bitcoin reach $250,000?
Tom Lee projects this price target could be achieved by the end of 2025, with intermediate targets of $150,000 by December.
How does this compare to other price predictions?
VanEck’s longer-term projection of $3 million by 2050 suggests Lee’s $250,000 target might be conservative.
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