Coinbase Institutional Highlights Three Catalysts That Could Lift Crypto in Q4 2025

Coinbase Institutional's Q4 2025 outlook, detailed in their "Charting Crypto: Navigating Uncertainty" report with Glassnode, suggests the crypto cycle remains cautiously biased higher following a recent market shakeout attributed to high leverage meeting thin order books. The positive outlook is underpinned by three main factors: supportive liquidity conditions, evidenced by the M2 Money Supply Index and anticipated Federal Reserve rate cuts; policy progress, highlighted by near-record stablecoin supply and volumes indicating increased on-chain activity; and deepening U.S. spot ETF infrastructure for BTC and ETH, which improves market depth. Coinbase favors Bitcoin due to its 'digital gold' role, while Ether also looks constructive due to scaling progress on Layer-2 networks. Despite acknowledging risks like potential liquidity fading and uncertainty around Digital Asset Treasury (DAT) companies, the firm concludes that improving liquidity, policy, and on-chain usage support the market heading into year-end.

(Source：CoinDesk)