Bitcoin predicted to hit $200,000 amid dollar weakness

Bitwise Asset Management has reaffirmed its forecast that Bitcoin (CRYPTO:BTC) could reach $200,000 by the end of 2025, citing favorable macroeconomic trends and a weakening U.S. dollar.

Chief Investment Officer Matt Hougan emphasised that Bitcoin’s performance historically correlates with a declining U.S. Dollar Index (DXY), which has dropped over 7% since January.

Hougan pointed to recent remarks by Steve Miran, chairman of the White House Council of Economic Advisers, who criticised the dollar’s reserve status for contributing to trade deficits and manufacturing decline.

He suggested that President Donald Trump’s push for a weaker dollar could disrupt the global reserve currency system, creating opportunities for alternative assets like Bitcoin and gold.

“Dollar down equals Bitcoin up,” Hougan stated, underscoring the historical relationship between a weaker dollar and Bitcoin price increases.

He added that this shift could lead to a more fractured reserve system where hard assets like Bitcoin play a larger role.

The prediction aligns with broader trends in the crypto market.

Analysts expect continued inflows into Bitcoin exchange-traded funds (ETFs), which saw record volumes in 2024.

Additionally, geopolitical factors such as China and Russia reportedly settling energy trades in Bitcoin further bolster its appeal as an alternative asset.

Crypto analyst Will Clemente echoed Bitwise’s optimism, calling Bitcoin “the fastest horse” during economic uncertainty and deglobalisation.

However, challenges remain.

The U.S.’s trade tensions and Trump’s tariff policies have introduced volatility into global markets.

On April 9, Trump announced a 90-day pause on reciprocal tariffs while maintaining a 125% tariff on Chinese goods.

As the crypto market navigates these dynamics, Bitwise remains confident in Bitcoin’s ability to capitalise on macroeconomic shifts and institutional adoption.

With nine months left in 2025, analysts are closely monitoring whether these factors will propel Bitcoin toward its ambitious $200,000 target.

At the time of reporting, the Bitcoin (BTC) price was $81,662.09.