Institutions Stay Optimistic, But Bitcoin’s Bull Run May Be Nearing Its Peak
A majority of institutional and non-institutional buyers keep an optimistic outlook on Bitcoin for the following three to 6 months. This discovering comes from a joint report launched Monday by Coinbase and the on-chain information platform Glassnode.
The report signifies a “cautiously optimistic stance” for the cryptocurrency market within the fourth quarter of 2025.
Near-Term Gains, But an End in Sight?
The report identifies a number of tailwinds supporting a Bitcoin upswing. These embrace strong international liquidity, a powerful macroeconomic background, and favorable regulatory dynamics.
However, the authors mood this optimism by pointing to the necessity for a cautious market method. This warning follows the large $19 billion leverage flush occasion on October 10.
A key investor focus, the US Federal Reserve’s rate of interest coverage, is anticipated to see two additional charge cuts this yr. Coinbase tasks that these two cuts may entice roughly $7 trillion at the moment held in Money Market Funds (MMFs) again into risk-on property.
Liquidity Squeeze Ahead
On the liquidity entrance, the global M2 cash provide index, a key measure of worldwide liquidity, confirmed constructive alerts at the beginning of the quarter. However, the state of affairs has since shifted.
The report warns {that a} liquidity contraction is anticipated in early November. This is as a result of mixed results of the US authorities shutdown and the Federal Reserve’s Quantitative Tightening (QT).
Beware the Macroeconomic Headwinds
The report cites a survey of 120 international buyers, revealing that 67% of institutional buyers and 62% of non-institutional buyers are optimistic about Bitcoin’s prospects over the following 3 to six months.
However, a transparent distinction emerges concerning the cycle’s sustainability. Nearly half (45%) of institutional buyers consider the market is within the “late-stage bull.” This is signaling an expectation that the expansion cycle will quickly conclude. In distinction, solely 27% of non-institutional buyers share this view.
When requested in regards to the major “Tail Risk” for the crypto market within the close to time period, each institutional (38%) and non-institutional (29%) respondents cited the macroeconomic surroundings. This signifies a shared concern amongst completely different investor teams.
On the opposite hand, it is usually vital to notice that this survey was carried out between September 17 and October 3, earlier than the October 10 crash.
Analysts Stand By Lofty Year-End Forecasts
The “Uptober” rally that many buyers anticipated seems to be faltering amid the sudden escalation of US-China tensions. Consequently, year-end Bitcoin worth forecasts from main monetary establishments are beneath intense scrutiny.
In early October, Citigroup projected a year-end Bitcoin worth of roughly $133,000, conditional on continued ETF inflows and elevated demand from DAT corporations. Standard Chartered provided a good greater forecast, predicting Bitcoin could hit $200,000 if weekly ETF inflows keep the $500 million stage.
Similarly, JPMorgan projected a year-end worth of $165,000, arguing that Bitcoin was undervalued relative to gold. Goldman Sachs additionally appeared to gold for a reference level, suggesting that if gold have been to succeed in $5,000 per ounce, Bitcoin may doubtlessly surge to $220,000.
The submit Institutions Stay Optimistic, But Bitcoin’s Bull Run May Be Nearing Its Peak appeared first on BeInCrypto.
