Bitcoin price 2025: These factors influence the Bitcoin price

A key reason for Bitcoin's high demand is its limited availability. There will never be more than 21 million Bitcoins. This scarcity makes it attractive to many, similar to gold, which also has a limited supply. Additionally, approximately every four years, the so-called "halving" event occurs. During a halving, the number of new Bitcoins mined is halved. This reduces the influx of new Bitcoins into the market, effectively tightening the supply—akin to decreasing inflation. If demand remains constant, this can drive the price upward.

Since the last halving took place in 2024, and the effect of the reduced supply is gradually taking effect, the Bitcoin price could rise in the coming year, provided that demand remains steady.

Due to its limited supply, Bitcoin is often seen as a form of "protection" against inflation, meaning the loss of purchasing power of traditional currencies like the US dollar (USD) or Swiss franc (CHF). When inflation rises, money loses value, which becomes particularly problematic in times of crisis. During such periods, many people turn to Bitcoin, similar to gold, to secure their wealth. Especially in countries with high inflation, Bitcoin is increasingly used to preserve the value of money.

If inflation were to rise globally again, the demand for Bitcoin could increase, potentially positively affecting the Bitcoin price. This relationship makes Bitcoin particularly interesting for investors who have a long-term Bitcoin outlook in mind. The monetary policies of central banks, such as the European Central Bank (ECB), influence inflation and could therefore be crucial for the Bitcoin price.

The legal framework plays a significant role in the Bitcoin price. Some countries have a positive stance towards Bitcoin, while others impose strict rules or even consider bans. A clear and globally harmonized regulation could make Bitcoin more attractive to institutional investors (large financial institutions like banks or insurance companies), thereby increasing demand. In Switzerland, for example, the Financial Market Supervisory Authority (FINMA) is responsible for regulating the crypto markets.

If regulations for Bitcoin come into effect next year that are less restrictive and more open, this could have a positive impact on the price. However, if Bitcoin is regulated too strictly or even banned, it could negatively affect the Bitcoin price significantly. Therefore, it is essential to understand that regulatory interventions can substantially influence Bitcoin and its price.

Another important topic is the Bitcoin Spot ETFs that have already entered the market in early 2024. A Spot ETF is a fund directly linked to the current Bitcoin price and traded on exchanges like Nasdaq. Through this vehicle, large investors and institutional investors can more easily and, above all, regulatedly invest in Bitcoin without having to purchase the cryptocurrency directly. Since the introduction of Spot ETFs, the price of Bitcoin has risen, partly due to the high demand for Bitcoin Spot ETF shares.

If these ETFs continue to experience high demand, it will drive the Bitcoin price upward in 2025. However, if large investors and traditional investors lose interest in these Bitcoin Spot ETFs or even sell their shares, it could pull the Bitcoin price downward.

In recent years, more and more large investors and companies have invested in Bitcoin, which has strengthened confidence in Bitcoin. Large investment funds and companies bring not only fresh capital but also stability and credibility to the market. If this trend continues and more companies invest in Bitcoin, it could increase demand and positively influence the Bitcoin price.

This is particularly important for Bitcoin investors because institutional investors often take a long-term view. If this trend intensifies, it could further stabilize the Bitcoin market and help the price in the coming years. However, the market can also become unstable if large investors exit, which could drive the price downward.

Media and social media play an important role in shaping the public perception of Bitcoin. News about large companies investing in Bitcoin or reports about Bitcoin ETFs coming to market can increase demand. Similarly, the opinions of prominent figures like Elon Musk often influence public perception and can trigger short-term price movements. However, there are also negative reports, such as those about hacks, fraud cases, or environmental issues related to energy-intensive mining. Such reports can undermine confidence in Bitcoin and affect its price.

The media portrayal of Bitcoin remains an important factor in price development and the overall Bitcoin outlook. However, it is essential to note that reports in mainstream media about Bitcoin often lag behind. So, if every major newspaper reports positively about Bitcoin, it is usually a sign that a volatile phase of a Bitcoin cycle is beginning.

Tax aspects can also influence the Bitcoin price. In different countries, Bitcoin is subject to varying tax regulations, and in Switzerland, FINMA has established specific rules for cryptocurrencies. The way Bitcoin is treated within the tax system can either encourage or hinder investors' willingness to invest.

A clear and fair tax treatment could strengthen confidence in Bitcoin and attract new investors. Therefore, the role of the tax system remains a crucial factor for the Bitcoin price and should not be overlooked.

The development of the Bitcoin price in 2025 will be influenced by numerous factors: the limited supply due to the halving, global economic conditions such as inflation, regulatory frameworks, demand for Bitcoin Spot ETFs, and overall acceptance in everyday life. Media attention also affects the Bitcoin price.

All these factors could influence how the Bitcoin price develops in USD or CHF. For you, it is essential to keep an eye on these influences and to recognize them early, in order to estimate the price trend of Bitcoin in 2025 and to make informed buying or selling decisions. Try not to react only to influences, but aim to recognize and anticipate these influences early on. In general, when investing, it is always important not only to act on current events but also to try to identify future developments early and act accordingly before they reach the general public.