Bitcoin’s Maturity Brings New Strength

Bitcoin has temporarily lost its spotlight as 2025’s “hottest trade,” yet according to Alex Thorn, the head of research at Galaxy Digital, Bitcoin is merely transitioning into a more mature and balanced phase. Thorn believes this development is actually a positive sign for the overall stability and credibility of Bitcoin as an asset class.

At the beginning of the year, optimism around Bitcoin was remarkably high. The cryptocurrency became a global talking point, especially following Donald Trump’s victory in the U.S. presidential election, which initially fueled enormous enthusiasm in the markets. Thorn recalled in an interview with CNBC that “Bitcoin was the hottest trade of the year.” However, he explained that this enthusiasm faded as 2025 progressed, since many investors began exploring other booming sectors such as artificial intelligence, nuclear energy, quantum technologies, and gold.

According to Thorn, these alternative investment areas provided lucrative opportunities, diverting investor attention and capital that might have otherwise flowed into Bitcoin. Yet, he insists that attention “will return to Bitcoin, it always does.” He emphasizes that this rotation of interest is normal and even beneficial for Bitcoin, as it allows for broader ownership distribution from older holders to new participants — a natural and healthy process for a decentralized asset.

Thorn noted that despite short-term market fluctuations, he remains long-term bullish on Bitcoin. However, Galaxy Digital adjusted its price forecast, lowering its year-end target for Bitcoin from $185,000 to $120,000. While this represents a downward revision, it still implies a potential 17% rise from Bitcoin’s current price of about $102,000. The cryptocurrency has fallen by nearly 16% over the past month, but Thorn sees this correction as part of a maturing market rather than a sign of weakness.

Interestingly, the very sectors drawing attention away from Bitcoin — particularly gold — are also those most often compared to it. Analysts at JPMorgan recently observed that as gold reached new all-time highs, its volatility increased, making the metal riskier relative to Bitcoin. They argued that the falling Bitcoin-to-gold volatility ratio, now around 1.8, makes Bitcoin more attractive to certain investors seeking a balance of risk and reward.

In addition to these macro trends, the growing impact of artificial intelligence and quantum computing is reshaping the financial landscape. Recent reports indicate that the price movements of Bitcoin and Nvidia’s stock have become increasingly correlated, raising concerns among some analysts about a potential speculative bubble reminiscent of the late 1990s dot-com crash.

Meanwhile, the debate about whether quantum computing poses a real threat to Bitcoin continues to divide experts. Amit Mehra of Borderless Capital believes quantum technology is still years away from posing any danger to Bitcoin’s cryptographic security. On the other hand, Charles Edwards, founder of Capriole, warns that the risk may be more immediate, calling for the Bitcoin industry to develop and adopt robust defensive solutions before it’s too late.

Ultimately, Thorn’s perspective suggests that Bitcoin’s evolution toward maturity is part of its natural cycle. Market hype comes and goes, but Bitcoin endures through every phase — transforming, adapting, and reclaiming investor attention when the time is right.