Why Has Bitcoin’s Price Risen So Much?

Between January and June 2025, Bitcoin experienced a major price rally, surging from approximately $90,000 to over $105,000. This dramatic increase was driven by multiple overlapping catalysts, starting with the 2024 Bitcoin halving. The reduction in newly minted BTC created a supply shock just as demand began to soar.

One of the biggest drivers was the continued inflow of institutional capital, largely fueled by the widespread adoption of spot Bitcoin ETFs.

Major players like BlackRock, Fidelity, and Ark Invest increased their exposure to BTC, encouraging broader acceptance among institutional clients. The resulting sentiment boost triggered a second wave of retail investment, with everyday users rushing to buy in, fearing they’d miss out on the next big rally.

Broader macroeconomic uncertainty contributed to Bitcoin's growing appeal as a hedge against inflation and fiat currency instability. With central banks still grappling with interest rate decisions and geopolitical tension high, Bitcoin’s narrative as “digital gold” was strengthened.

Factors That Could Push Bitcoin’s Price Higher

Several factors suggest that Bitcoin's upward momentum could continue into the second half of 2025 and beyond:

• Institutional Investment: The approval and widespread adoption of Bitcoin ETFs have opened the doors for pension funds and conservative investors to enter the space.
• Decreasing Exchange Supply: On-chain data shows that more BTC is being moved into long-term storage wallets, reducing the liquid supply.
• Macroeconomic Conditions: As fiat currencies continue to lose value due to inflation, Bitcoin is becoming a modern store of value.
• Technological Developments: Projects like the Lightning Network and Bitcoin Ordinals are boosting real-world utility.
• Growing Global Demand: Countries experiencing financial instability (e.g., Argentina, Turkey) are showing increased BTC usage.

What Could Slow or Reverse Bitcoin’s Growth?

Despite the bullish momentum, Bitcoin remains a volatile asset and is not immune to significant corrections.

One of the most pressing threats is regulatory uncertainty. The United States remains unpredictable with its SEC rulings, while the EU has implemented the MiCA framework, which could limit some decentralized features.

Environmental backlash also plays a role. Bitcoin mining consumes a considerable amount of energy, and ESG-focused funds may avoid it due to sustainability concerns.

BTC Price Predictions: Bullish vs Bearish Outlooks

As of mid-2025, experts are divided on where Bitcoin’s price will head in the coming six months. Here's a breakdown of major analyst perspectives:

Bullish Outlook

• Standard Chartered Bank predicts BTC could hit $120,000 by December 2025, citing increased institutional demand and growing scarcity.
• ARK Invest, led by Cathie Wood, maintains its long-term outlook of BTC reaching $200,000+, but estimates a short-term rise to $110,000 by year-end.
• Glassnode reports a significant increase in long-term holder supply, suggesting a more stable and sustained upward trend.

Bearish/Neutral Outlook

• JPMorgan analysts have warned of overvaluation and predict a correction toward $60,000, especially if inflation subsides or interest rates increase.
• CryptoQuant has noted declining whale accumulation in late May 2025, suggesting a possible cooling-off period.

What Should Investors Consider Right Now?

For those considering an investment in Bitcoin during this volatile period, here are a few critical points to keep in mind:

• Volatility is Normal: BTC can swing 10–20% in a week. It’s crucial to avoid emotional trading.
• Don’t Invest Blindly: Always conduct your own research (DYOR). Look at both technical indicators and macro trends.
• Use Trusted Platforms: If you're looking to buy or sell Bitcoin in Georgia, Cryptal offers a secure, low-fee exchange with GEL, USD, and EUR options.
• Diversify Your Portfolio: Bitcoin should be part of a broader investment strategy, not your entire plan.

Disclaimer: This content is for informational purposes only and does not constitute financial or investment advice. Always consult a licensed financial advisor.

Final Thoughts: Will Bitcoin Keep Rising?

Bitcoin’s explosive rise in the first half of 2025 is hard to ignore. The mix of institutional adoption, macroeconomic pressure, and technological innovation has created a perfect storm for upward momentum. However, with every bull run comes the potential for correction.

Bitcoin is maturing as an asset class. While it remains speculative, it is no longer a fringe investment. Whether the price continues to increase or not, Bitcoin has cemented itself as a financial instrument that deserves serious consideration.

Ultimately, the decision to invest depends on your risk tolerance, time horizon, and belief in the future of decentralized finance. The next six months will be pivotal, but history has shown that Bitcoin has a habit of surprising both skeptics and believers alike.

Ready to start your Bitcoin journey? Check out Cryptal’s beginner-friendly platform to buy, sell, and store BTC in Georgia with local currency support.

Bitcoin’s global reputation is also evolving. Once considered a tool only for technologists or libertarians, BTC is now embraced by financial advisors, public corporations, and governments experimenting with digital assets. El Salvador remains a high-profile example of nation-state Bitcoin adoption, and although controversial, it highlights a shift in how nations view crypto as a monetary alternative.

In Georgia and other emerging economies, Bitcoin’s relevance is especially notable. Residents facing currency instability or strict capital controls are increasingly turning to decentralized assets as a financial refuge. The Georgian lari has seen fluctuations in purchasing power, pushing some locals to seek value preservation through digital currencies. As a result, exchanges like Cryptal are becoming more critical in helping bridge the fiat-to-crypto gap safely and conveniently.

Another long-term consideration is the psychological shift in how people view Bitcoin. It’s no longer just about price speculation. A growing number of users see Bitcoin as a savings tool, akin to a “digital vault.” This is reflected in the rising number of BTC wallets holding balances for over a year. These users are not traders—they’re believers in Bitcoin’s long-term potential to act as a hedge, especially in volatile economies.

Ultimately, the future of Bitcoin doesn’t depend solely on price action. Adoption, utility, and trust are equally important. Even if price growth slows temporarily, the foundational infrastructure supporting Bitcoin is stronger than ever.

Glossary – Crypto Terms

• Bitcoin (BTC) – The first and most popular decentralized digital asset.
• Volatility – Asset’s Price Increase/Decrease rate.
• Bull Market – A Price increase period on the market.
• Bear Market – Price decrease period on the market.
• Lightning Network – A payment protocol created on the Bitcoin Blockchain that is designed for fast transactions.
• Bitcoin Ordinals – Information inscribed in the smallest unit of Bitcoin (satoshi) which, thanks to the Bitcoin blockchain, has become a unique product similar to an NFT.

Bitcoin Price – Live: