James Butterfill, the Head of Research at digital asset manager CoinShares, has made an intriguing prediction about the future price of Bitcoin (BTC). In a recent interview with CNBC, Butterfill suggested that Bitcoin could eventually reach $250,000—a more than 166% increase from its current price. However, he clarified that he does not anticipate this milestone in 2025, though he believes it could be achieved in the longer term.

Bitcoin’s Market Cap and Gold Comparison

At $250,000 per Bitcoin, the cryptocurrency’s total market capitalization would represent about 25% of gold’s market share. Currently, Bitcoin’s market share is approximately 10%, and Butterfill argues that it’s not “unreasonable” to see this number grow. The comparison to gold is a key point in his prediction, suggesting that Bitcoin has room for growth as it continues to gain mainstream adoption and institutional interest.

However, the road to such a price point will not be immediate. While Butterfill remains optimistic about Bitcoin’s future, he also warns that timing such a price increase is challenging. He doesn’t expect Bitcoin to reach $250,000 by 2025 but believes that the cryptocurrency will continue heading in that direction over time.

Short-Term Prediction: A Correction and Peak

In the short term, Butterfill predicts Bitcoin could see a correction to around $80,000 during 2025. After that, he expects the cryptocurrency to peak at $150,000. This short-term outlook contrasts with the long-term bullish sentiment that sees Bitcoin pushing toward its $250,000 potential.

The future trajectory of Bitcoin’s price will depend heavily on a variety of factors, including market sentiment and external economic conditions. Butterfill points to the regulatory environment in the United States as a key influencer of Bitcoin’s price in the near term.

Impact of US Policy on Bitcoin’s Future

Butterfill also warned of a potential market correction if U.S. President-elect Donald Trump does not enact the pro-crypto policies that many in the industry expect. If the anticipated crypto-friendly policies don’t materialize, disappointment among investors could lead to a significant downturn in Bitcoin’s price.

The regulatory environment has been a major factor in Bitcoin’s volatility, and any regulatory changes can significantly impact its price movement. Butterfill believes that the current favorable regulatory landscape in the U.S. is one of the driving forces behind Bitcoin’s recent growth, and if this remains in place, Bitcoin could continue to appreciate over the course of 2025.

Bitcoin’s Current Market Standing

At the time of writing, Bitcoin is trading at $93,742, down by 1.2% in the past 24 hours. Despite this minor setback, Bitcoin’s performance remains relatively strong, and many analysts continue to hold a positive outlook for the cryptocurrency. While market corrections are common, Bitcoin’s long-term potential remains a central focus for many investors.

Conclusion: Bitcoin’s Path to $250,000

James Butterfill’s prediction of Bitcoin reaching $250,000 is certainly a bold one, but it is grounded in the belief that Bitcoin’s market share can continue to expand as the cryptocurrency matures. While Butterfill does not foresee this price in the immediate future, he believes Bitcoin’s journey will head in that direction over time. Regulatory policies and broader market conditions will play a significant role in shaping Bitcoin’s price trajectory.

As Bitcoin continues to evolve, investors and market watchers will be keeping a close eye on these developments, adjusting their strategies as new information emerges. For now, Bitcoin’s future remains a topic of great interest, and many are eager to see how the next few years unfold for the flagship cryptocurrency.