Bitcoin’s 2025 review: The “violent transformation” hidden behind the year’s deceptively flat price chart

Bitcoin's 2025 price chart appeared flat, but the underlying market structure underwent a 'violent transformation.' Key developments included the US government establishing a Strategic Bitcoin Reserve (SBR) via Executive Order 14233, shifting the US from a net seller to a strategic holder, alongside similar explorations by other nations and corporations holding over 1 million BTC. Regulatory progress enshrined Bitcoin in traditional finance, with the CFTC approving it for derivatives margin and the OCC clarifying 'riskless principal' trades, allowing major banks like JPMorgan and Morgan Stanley to integrate trading and custody. Bitcoin ETFs, particularly BlackRock's IBIT, saw massive inflows ($25 billion) even with stagnant prices, indicating structural accumulation. However, the price experienced a boom to over $125,000 in October followed by a 30% bust, driven by long-term holder selling and macro deleveraging. Concurrently, miners faced a solvency crisis as prices fell below production costs, forcing them to pivot into hybrid energy-compute centers by securing AI/HPC contracts, often with support from Google. The year concluded with the integration of the 'plumbing' complete, but structural adoption did not prevent macro-driven volatility.

(Source：CryptoSlate)