The past year marked a milestone for crypto. Bitcoin (CRYPTO: BTC) hit six figures as excitement built around the potential for the digital currency. Last year also marked the introduction of many spot Bitcoin exchange-traded funds (ETFs), and the latest halving event, which cut the growth of new Bitcoin supply in half. In total, the cryptocurrency rose by 119% in 2024, marking the second straight year where it more than doubled in value (it soared 154% in 2023).

But despite the huge gains that Bitcoin amassed during the past couple of years, it may not necessarily be too late to invest in the digital currency. Many analysts and growth investors remain bullish on Bitcoin and its potential to hit new heights in 2025.

A big reason that Bitcoin has surged in value in recent months was that President-elect Donald Trump sounded fairly bullish on the digital currency at rallies leading up to the election.

At one rally, Trump said he wanted the U.S. to become the "crypto capital of the planet," suggesting that while there will be regulations on the industry, they could prove favorable to miners and crypto enthusiasts. "We will have regulations, but from now on the rules will be written by people who love your industry, not hate your industry," he said.

Trump also said that he wants the government to build a Bitcoin reserve, which would not only increase demand for the scarce digital asset but also be a clear sign of the government's favorable outlook on the digital currency. If the government is bullish on crypto, that could lead to more individuals and corporations also buying Bitcoin.

If there are more people buying Bitcoin, that will inevitably put a lot of upward pressure on its value given its finite supply (only 21 million bitcoins will even exist). Multiple crypto analysts project that the price of Bitcoin could hit $150,000 this year, with some projecting it could soar even higher, to $200,000.

One of the biggest Bitcoin bulls, Cathie Wood, believes that could only be the beginning. Her base case is for Bitcoin to reach $650,000 by 2030, with a best-case scenario seeing it hit $1.5 million by then. This will depend on the level of institutional buying, and whether the U.S. and other governments decide to create Bitcoin reserves. All that buying pressure would push the price up.

But investors should be careful not to assume that it will be a straight line up. A lot will ultimately depend on just how bullish retail investors, institutional investors, and even the government are on crypto. Right now there's a lot of optimism and excitement, but it's usually a bumpy ride for Bitcoin, and investors should brace for the possibility of plenty of volatility in the future.