Is the Crypto Bull Run Still Possible in 2025? Examining Trends for the Next Market Surge

Bitcoin has maintained its strength in 2025, but the crypto market is somewhat in a cautious state due to underlying geopolitical tensions. As a result, traders and analysts are in sentimental equilibrium. However, certain pointers indicate a crypto bull run soon. For instance, Bitcoin bounced back from its bearish state of below $80,000 a month ago to $100,000 again. Altcoins, such as Ethereum, also made a comeback, surging from below $2000 to above $2,500. 

Both Bitcoin and Ethereum have also commanded attention in recent times with increased institutional interest. This is another pointer that a breakout is possible. But, will current trends and macroeconomic factors favor the upcoming bull run or derail it from happening sooner than expected? Let’s examine market trends and data for a more conclusive anticipation. 

Historical Movements of Previous Bull Runs

They say, “history doesn’t repeat itself,” but there’s often a trend that no one ignores. The crypto market has exhibited some patterns leading to a bullish run in all previous cycles. These patterns will help us determine if the next crypto Bull run is closer than we thought.

In 2017, BTC surged from about $1000 to almost $20,000, while ETH jumped from $8 to $750. This surge was fueled by ICO speculation and widespread retail adoption. However, the bullish sentiments were short-lived. Both coins corrected sharply, but never traded below the $1000 and $8 bases. Three years later, the crypto market witnessed another bull run, with BTC surging from $8,000 to $64,000. Unlike the previous cycle that lasted 165 days, the 2020-2021 cycle lasted 473 days. The surge was characterized by greater institutional adoption and the rise of crypto ETFs. 

However, each cycle was influenced by a major factor – Bitcoin halving. As you know, Bitcoin is limited in supply. As a result, the rewards granted to miners for validating transactions are halved approximately every four years in a process known as halving. Historically, Bitcoin halving happens a year before a major Bull market. For instance, the halving of 2012 led to the bull run in 2013. 2016 halving led to a 2017 rally, and 2020 set the stage for 2021. The latest halving happened in April 2024, prompting experts to anticipate a rally later in 2025. In each cycle, BTC hit a new all-time high.

Factors That May Induce the Next Crypto Cycle

While it’s impossible to predict the exact timing of the next rally, several indicators point to a significant upswing. Let’s look at them below:

• Rising Institutional Investments

There has been a massive institutional buying since the year began. It’s no longer tech-savvy retail investors who are purchasing BTC. Pension funds, insurance companies, sovereign wealth funds, and even Media houses are quietly accumulating cryptocurrencies. Institutional investments often signal a massive shift in momentum, as seen in previous bull cycles of 2013, 2017, and 2021. In each cycle, there has been a significant rise in institutional adoption. A similar pattern is unfolding in 2025.

The United States government announced plans to establish a Strategic Bitcoin Reserve and introduced several sweeping regulations to legitimize cryptocurrency and Blockchain. Recently, it repealed certain crypto regulations proposed during the Biden era. Firms, such as BlackRock, Strategy, Galaxy Digitals, and Metaplanet, are expanding their reserves and portfolios. In Europe, Deutsche Bank of Germany introduced crypto custodial services in early 2025. US spot Bitcoin ETFs hit a record $5.2 billion in net inflows. Institutions and even retail holders are building positions to hold for years. The steady inflow is the basis for long-term sustainability.

• Falling Global Interest Rates and Rising M2 Money Supply

The world is officially in a global easing cycle. Central banks globally are cutting interest rates, reminiscent of the events in 2020 – 2021, which saw BTC skyrocket. As inflation drops and yields become less attractive, central banks consider cutting the interest rate. The ECB recently cut its interest rate to 2%, while the United States Federal Reserve is facing mounting pressure to cut interest rates. This will push money to start flowing towards assets with greater yield potential, like cryptocurrencies. 

Also, M2, the total amount of cash and other liquid assets in the economy, is rising. The global supply of M2 as of Q2 is approximately $93 trillion. The United States accounts for 20% of the supply. When the money supply increases, the purchasing power of Fiat decreases. When cash loses value, people diversify into assets that will protect their wealth. This is why digital assets like Bitcoin rise. 

• Regulatory Clarity

The return of Donald Trump has offered a glimpse of hope for crypto asset service providers. The sweeping regulations to support blockchain development and cryptocurrency adoption have created a favorable environment for investors. In the United States, the Digital Asset Market Structure Bill and the Stablecoin Act are among the bills that will provide clearer regulations. There’s also the MiCA regulation in Europe that has harmonized legal frameworks for all member countries. Singapore, Hong Kong, and South Korea are creating comprehensive regulations to encourage innovation and crypto use. It’s obvious that regulations are clearer and will play a huge part in the upcoming bull run. 

• Improved Technological Use Cases

We are seeing the rise in real-world applications of blockchains. For instance, real-world assets tokenization is gaining momentum. DeFi lending and staking are also on the rise following improved blockchain scalability and performance. Ethereum’s Layer2 scaling solutions, such as Optimism and Arbitrum, are gaining widespread adoption. Plus, there are rumors of a spot ETH launch and even Solana. 

The convergence of Blockchain and AI also makes for a good appeal. The collaboration will be efficient in verifying the truth related to identity theft, cybercrime, voting, trading, etc. Blockchain and AI are driving the next wave of innovation. 

Factors That May Derail the Next Market Surge

We have looked at the factors that indicate a potential bull run, but there are risk factors that indicate it might still not happen. Let’s consider what might prevent it:

• Macroeconomic Factors

Political tensions and economic forces are critical variables. For instance, the Israel-Iran war led to a crypto bloodshed, where Bitcoin almost touched the $100k mark. We also witnessed how the US-China trade war and the feud between Donald Trump and Elon Musk impacted the crypto market. Such tensions and conflicts invoke fear and panic, which reverberate on the market.

• Regulations

Regulations are becoming clearer, but a misguided law or bill can set the crypto market for a bloodshed. For instance, if the U.S. SEC reclassifies Ethereum as Securities, it could destabilize crypto trading and the entire DeFi protocols. Also, aggressive tax policies on crypto could push capital away from crypto. 

Final Say

Fundamentals are more solid than ever. Improved regulations, halving, increasing institutional adoption, and expanding use cases, make a compelling point for the next crypto bull run. The key is to stay prepared, informed, and emotionally ready for what’s to come. There are strong potentials for a surge, but we may just be in for a big surprise.