The cryptocurrency market is entering a rare phase of euphoria. Bitcoin (BTC) has just set a new historical peak, surpassing $123,000, while new cryptocurrency legislation is being considered by the U.S. Congress. Analysts are buzzing about a 'Summer of Stablecoins', a signal that the market may soon enter a late-year explosive growth phase. Below are three noteworthy coins with strong upside potential in the next five months.
1. Bitcoin (BTC): The King That Cannot Be Missed
It is no surprise that Bitcoin continues to be the top-priority cryptocurrency. History has shown that Bitcoin always leads the market in growth cycles, and currently, it accounts for up to 62% of the total crypto market capitalization.
Spot Bitcoin ETFs continue to attract massive inflows from institutional investors. Additionally, the 'Bitcoin treasury' company model – inspired by MicroStrategy – is being replicated, with billions of dollars raised to buy and store Bitcoin.
Notably, the Trump administration is showing strong support for Bitcoin and the cryptocurrency market. During 'Crypto Week', Trump even likened the success of cryptocurrency to a part of the slogan 'Make America Great Again'. Analysts expect further policy moves such as the establishment of a Strategic Bitcoin Reserve Fund, which could push Bitcoin prices to new heights.
2. Ethereum (ETH): Gateway to Decentralized Finance
If there is any coin that has the potential to 'stand shoulder to shoulder' with Bitcoin in terms of influence, it is Ethereum. As the number one platform in the decentralized finance (DeFi) sector, Ethereum currently holds 58% of the global DeFi market share, and it is also the main blockchain for stablecoins – a type of asset that is drawing significant interest from traditional financial institutions.
Although ETH has only increased by less than 2% since the beginning of the year, a potential catalyst for a breakthrough could be the Clarity Act – a bill soon to be passed by the U.S. Congress during 'Crypto Week'. This bill will provide a clear legal framework for digital assets, thereby opening up significant opportunities for the participation of financial institutions in the crypto space. When that happens, demand for Ethereum could skyrocket.
3. Meme Coin: A Warning for Trend-following Investors
As usual in bullish cycles, crypto investors tend to pour money into high-risk assets seeking huge profits – prominently featuring meme coins. Recently, Pudgy Penguins (PENGU) – a meme coin inspired by the famous NFT collection – surged by 60% in just one week, after Coinbase unexpectedly changed its profile picture to that of a penguin.
However, experts warn against investing in meme coins, especially those that are trend-based, lacking technological foundation or real-world application. History has proven that when the market reverses, meme coins are often the 'fastest falling' assets.
What to Buy in This Phase?
If you are wondering which cryptocurrency to invest in, Bitcoin remains the most reliable choice. As 'digital gold' and with policy support from the government, Bitcoin could become a risk-hedging tool amid global financial market volatility due to tariffs or geopolitical factors.
While no one can be certain about the future, forecasts from Bernstein and Standard Chartered suggest that Bitcoin's price could reach $200,000, which is double the current price. If you are willing to accept risk, Bitcoin could be the strategic asset that allows your portfolio to grow significantly in 2025.
Conclusion: The crypto market is entering a 'form', and the current moment may be the time to prepare for significant growth. Choose your investment assets wisely – prioritize Bitcoin, consider Ethereum, and stay away from meme coins if you do not want to 'chase the peak'.