Fidelity Predicts $5.8T Nation-State Bitcoin Adoption, Price Could Reach $200K by 2025

Jan 8, 2025, 03:00 PM

Fidelity Digital Assets, a subsidiary of the $5.8 trillion Fidelity Investments, has released a report forecasting that nation-states, central banks, sovereign wealth funds, and government treasuries will increasingly adopt Bitcoin as part of their strategic reserves by 2025. The report predicts that this trend will drive substantial growth in the cryptocurrency market. Analysts, including Matt Hogan and Chris Kuiper, highlighted the successes of countries like El Salvador and Bhutan as examples of early adoption, suggesting that governments may begin accumulating Bitcoin to hedge against economic uncertainties, including inflation and potential stagflation. Fidelity anticipates that this shift could mark the early stages of widespread adoption of digital assets across multiple sectors. Additionally, the report projects Bitcoin's price could reach between $125,000 and $200,000 by 2025, driven by increased adoption and macroeconomic factors.