According to a new report published by Coinbase Research, a more optimistic macroeconomic environment, increasing interest in digital assets at the institutional level, and clearer regulations present a positive outlook for cryptocurrency markets in the second half of 2025. The first quarter of the year was marked by volatility in the markets due to a short-term contraction in U.S. GDP and trade disruptions. However, recent data suggests a recovery. The Atlanta Fed’s GDPNow tracking data rose to 3.8% quarter-on-quarter as of early June, a significant increase from expectations at the beginning of the year. This development, combined with the expectation that the Fed will cut interest rates and adopt a more lenient trade policy, has eased recession concerns and boosted investor confidence. According to the Coinbase report, the weakening of the dollar’s global dominance and the rise of Bitcoin as a hedge against inflation could also increase interest in crypto. However, high long-term US bond yields could limit this interest. The performance of altcoins will largely depend on specific catalysts such as ETF approvals or protocol-based developments. Another development that stands out in the report is the increasing tendency of public companies to include crypto assets in their balance sheets. The regulation that will come into force in 2024 and that will allow the transition to the “fair value” accounting method for digital assets supports this trend. However, this trend also brings new systemic risks. In particular, companies that finance crypto purchases with convertible debt may be forced to sell if refinancing opportunities narrow or market prices decline sharply. Related News: List of the 20 Altcoins That Crypto Developers Have Focused On the Most in the Last Year Has Been Revealed - There's a Big Surprise at the Top Significant steps are also being taken on the regulatory front. The Senate recently sent the GENIUS Act, a stablecoin bill that passed with bipartisan support, to the House of Representatives. In addition, a more comprehensive market structure bill called the CLARITY Act is also on the agenda. The bill aims to clarify the authority of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) over digital assets. If passed, it would significantly reduce uncertainty for both issuers and investors. Meanwhile, the SEC is evaluating more than 80 crypto ETF applications, including multi-asset funds, staking and altcoin-based products. The first decisions are expected in July, with the rest expected by October. Overall, Bitcoin could perform strongly in the second half of the year, with macroeconomic and structural headwinds behind it, according to the Coinbase report. For altcoins, success will depend on navigating a more complex environment, including regulatory uncertainty and liquidity conditions. *This is not investment advice. Continue Reading: Coinbase Releases Its Latest Report on the Future of Bitcoin and Cryptocurrencies
