Sygnum Bank: 2025 May Be Cryptocurrency Market Turning Point, Risk Factors Like Meme Coin Bubble May Limit Market Gains

On December 12, Swiss cryptocurrency bank Sygnum released its “Crypto Market Outlook 2025 Report,” stating that 2025 may become an important turning point for the cryptocurrency market. The report predicts that continued inflows of institutional investor funds, an improved regulatory environment, and the potential inclusion of Bitcoin as a reserve asset for sovereign wealth funds and central banks will drive cryptocurrency prices higher.

The report emphasizes that a shift in the attitude of the U.S. government and regulators is favorable to cryptocurrency development, especially as improved regulation will primarily benefit torrents of coins.

However, risk factors such as inflationary pressures, a tighter liquidity cycle and memecoin bubbles could limit market gains.

The report also notes that innovation at the infrastructure level has become the focus of industry attention, with ethereum facing challenges but emerging public chains excelling. In addition, private entities capturing project revenues and a lack of user growth for some apps have constrained the performance of torrents.