Matrixport outlines new risks that could challenge Bitcoin’s rally in 2025

Analysts warn that Bitcoin’s next bull run could face downside headwinds due to advances in quantum computing and changing inflation dynamics.

Singapore-based web3 firm Matrixport says there are still many risks that could disrupt the Bitcoin (BTC) bull market in 2025.

Google’s 105-qubit “Willow” quantum chip has reignited discussions about potential threats to Bitcoin’s security, the firm said in a Dec. 27 research note. While the technology is still in its infancy, Matrixport noted that “theoretical risks require caution.”

Inflation expectations are also rising, partly due to possible tariffs during Trump’s presidency. The report says these tariffs had “minimal impact” in their first term, but warns that the Fed’s response to fiscal policies could affect monetary policy next year.

“[…] If a Trump presidency looks increasingly likely or is confirmed, the FOMC could adopt a more hawkish stance; Both have now come true. “This scenario poses new uncertainties for Bitcoin and the broader crypto market, as the Fed’s response to potential fiscal policies under the Trump administration could shape the course of monetary policy.”

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Matrixport emphasized that regulatory pressures often signal turning points for Bitcoin. The SEC’s approval of spot Bitcoin exchange-traded funds has eased concerns, but macroeconomic factors are now at the forefront.

The report states that “Inflation should not pose a significant problem next year” and that this may allow the Fed to maintain its dovish stance. According to Matrixport, the future of Bitcoin now depends on how it will deal with these emerging challenges.