yolowire.com - Cryptocurrencies are marching higher to start the New Year.
Bitcoin (CRYPTO: BTC), the largest crypto by market capitalization, is up 2% on Jan. 2 and trading at $96,300 U.S.
Ethereum (CRYPTO: ETH), the second biggest cryptocurrency, is up 3% and trading at $3,450 U.S. to start 2025.
Smaller cryptocurrencies are seeing even bigger gains, with Solana (CRYPTO: SOL) up 7%, Dogecoin (CRYPTO: DOGE) up 4%, and XRP (CRYPTO: XRP) up as much as 11% in early trading.
The rise to begin the new trading year appears to be fueled by continued anticipation of a more crypto-friendly administration under incoming U.S. president Donald Trump.
Trump has promised crypto-friendly legislation and to develop a strategic Bitcoin reserve for the U.S. government.
Analysts remain bullish on the outlook for crypto, with firms such as Galaxy Research predicting large-scale institutional, corporate, and state adoption of Bitcoin and other cryptos in 2025.
Galaxy Research is forecasting that Bitcoin’s price will rise to $185,000 U.S. this year and that Ethereum’s price will top $5,500 U.S.
The continued popularity of spot exchange-traded funds (ETFs) that track the price of Bitcoin and Ethereum also remain a catalyst for cryptocurrencies, say analysts.
Many analysts are forecasting additional spot crypto ETFs in coming years, including potentially for Solana and Cardano (ADA).
Bitcoin’s price rose a little more than 110% in 2024, outpacing gains in equities.