As we enter Q2 of 2025, the global crypto market finds itself steering a complex intersection of macroeconomic and geopolitical pressures. 

BeInCrypto spoke with analysts Leena ElDeeb of 21Shares and Max Shannon of CoinShares, who offer distinct but insightful perspectives on the crypto space’s outlook for the new quarter.

Bitcoin’s Future: Bullish or Bearish?

The two analysts share a bullish outlook on Bitcoin, albeit with differing views on its short-term fluctuations. Leena ElDeeb sees the potential for Bitcoin to surpass $90,000, driven by macroeconomic factors such as a possible rate cut by the US Federal Reserve. 

“February’s softer-than-expected CPI print boosted rate cut expectations. If rate cuts materialize, a wave of liquidity could reignite bullish momentum, pushing equities and Bitcoin past key resistance levels,” she told BeInCrypto. 

In her view, Bitcoin could eventually hit a range between $150,000 and $200,000 by the year’s end, bolstered by growing regulatory clarity and political support, such as President Trump’s proposal for a strategic crypto reserve.

Max Shannon, on the other hand, remains more cautious about Bitcoin’s immediate future. He predicts that Bitcoin will continue to trade within a wide range of $70,000 to $90,000 in Q2, constrained by persistent tariff issues.

“The moment they [tariffs] get lifted will likely be a massive boon for the equities and crypto market,” he notes, indicating that a resolution could pave the way for Bitcoin’s next big move. 

However, the analyst also suggests that the market may experience volatility as these macro factors play out.

Will Ethereum Bounce Back?

Both analysts acknowledge Ethereum’s struggles, particularly its nearly 40% drop in Q1. However, they also highlight key developments that could support a recovery in the next quarter.

ElDeeb points to Ethereum’s upcoming upgrade, the Pectra upgrade, which is expected to improve staking and network scalability.

“Ethereum’s staking is also about to be improved with the launch of Pectra. These changes are expected to boost the appeal of staking-enabled products,” she explained.

Additionally, she sees growing competition from other blockchain platforms like Solana and Sui, which are attracting retail users with faster and cheaper transactions. Despite this, ElDeeb remains optimistic about Ethereum’s long-term potential, particularly as scalability solutions begin to take effect.

Shannon is more skeptical of Ethereum’s future, specifically with its ongoing challenges in both the monetary and smart contract spaces. 

“Ethereum is attempting to function both as a monetary asset, where it struggles to compete with Bitcoin, and as a smart contract platform, where it faces strong competition from Solana,” the CoinShares analyst stated. 

Shannon also highlights Ethereum’s changing monetary policy and the increasing technical debt as concerns that could limit its growth in the short term.

DeFi and AI: The Next Big Trend in Crypto?

The rise and fall of celebrity meme coins like TRUMP, MELANIA, and LIBRA were hot topics in Q1 2025. Both analysts agree that the hype around this category of tokens is unlikely to be sustained in the long run.

ElDeeb points to the growing importance of decentralized finance (DeFi) and artificial intelligence (AI) in shaping the next trend. 

“The forthcoming cryptocurrency market rally is anticipated to be driven by significant advancements in decentralized finance (DeFi), particularly through innovative mechanisms that enhance token holder engagement,” she notes, citing Aave’s recent proposal to share revenue with AAVE token holders as a prime example of this trend.

On the flip side, Shannon suggests that the decline in meme coins and altcoins could be a sign of broader challenges in the altcoin market. 

“The Melei controversy, pump.fun decline, and declining centralized and decentralized exchange volumes show altcoins could have a very hard time this year in my opinion,” he cautions. 

As trading volumes continue to drop, Shannon forecasts that altcoins may continue to underperform.

“Even in a BTC bull run altcoins could underperform,” the analyst added.

The Road Ahead

Looking ahead to Q2 2025, both ElDeeb and Shannon anticipate continued market volatility. External macroeconomic conditions like US tariffs, interest rate decisions, and geopolitical factors will largely shape the market.

While ElDeeb maintains a generally optimistic view, predicting a recovery for both Bitcoin and Ethereum, Shannon advises caution, particularly with altcoins.

For investors, diversification remains key. ElDeeb emphasizes the value of Bitcoin’s fixed supply and decentralization, which have historically helped it recover from turbulent periods.

“We consider these market corrections as great market entry points,” she says. 

Shannon, meanwhile, stressed the importance of caution in navigating the altcoin space. He added that Bitcoin could be the best bet for those seeking stability.

Hedera (HBAR) is showing signs of weakness after dropping 4% on Thursday. Its market cap is now hovering close to the $8 billion mark. Recent technical indicators suggest that sellers may be gaining control, especially as directional strength begins to shift.

The DMI and Ichimoku Cloud both point to a market caught in consolidation but leaning slightly bearish. With key resistance holding firm and bearish patterns threatening to develop, HBAR’s next move could be critical.

HBAR DMI Shows Sellers Are in Control

Hedera’s Directional Movement Index (DMI) chart shows that the Average Directional Index (ADX) is currently sitting at 16.6, a notable decline from yesterday’s 23.5.

The ADX is a key indicator used to gauge the strength of a trend, and a drop like this suggests that the momentum behind any recent move—bullish or bearish—is weakening.

An ADX below 20 typically points to a lack of a clear trend or the presence of sideways movement, which aligns with HBAR’s recent consolidation phase observed over the last few days.

The ADX itself doesn’t indicate the direction of the trend, only its strength. Generally, values below 20 signal a weak or non-existent trend, 20–25 indicate a potential emerging trend, and values above 25 suggest a strong trend.

Alongside the ADX, the DMI’s +DI (Positive Directional Indicator) and -DI (Negative Directional Indicator) give insight into direction. Currently, +DI is at 18.4, falling from 26.9 yesterday, while -DI has climbed to 22.33 from 13.61.

This flip in directional strength suggests bearish momentum is increasing while bullish momentum fades.

Coupled with a low ADX, this could imply that although sellers are gaining the upper hand, the overall trend still lacks conviction. This reinforces the idea that HBAR is likely to remain range-bound unless a breakout confirms a new direction.

Hedera Ichimoku Cloud Indicates a Bearish Trend Could Arise Soon

Hedera’s Ichimoku Cloud chart reveals a market in equilibrium, with price hovering near the lower boundary of the cloud. The recent candlesticks show a clear hesitation around this area, reflecting the ongoing consolidation.

The Kijun-sen (blue line) has turned flat, indicating a loss of momentum and a potential pause in trend direction. Similarly, the Tenkan-sen (red line) is sloping downward, suggesting short-term bearish pressure.

Despite this, the forward cloud has flipped to a bullish twist, signaling a possible shift in sentiment—but that outlook remains unconfirmed unless HBAR can establish clear separation above the cloud.

The cloud itself—the Kumo—remains relatively flat and thin, reinforcing the current consolidation phase.

A thin cloud typically indicates weak support or resistance, making it easier for price to move through but harder to trust any breakout unless accompanied by strong volume and momentum. The Chikou Span (lagging line) appears to be tangled within past price action, which also suggests a lack of trend clarity.

Overall, the Ichimoku signals point to indecision in the market, with a slight bearish lean in the short term and a potential for trend development if buyers can gain control.

Can Hedera Break Above $0.20?

Hedera has recently faced strong resistance, struggling to break past the $0.199 level—failing twice over the past few days. This repeated rejection has created a ceiling that’s proving tough to breach.

Meanwhile, its EMA lines are tightening, and there’s the looming possibility of a death cross forming, which would signal a potential bearish shift. If that crossover is confirmed, it could accelerate downward pressure. This would lead HBAR to retest its next key support level near $0.184.

A breakdown below would open the door for further downside, potentially extending the move toward the lower support region around $0.179. If that support is also lost, HBAR could go below $0.17 for the first time since November 2024.

However, if momentum can flip, the bulls still have a case. Should the Hedera price manage to regain strength and form a sustainable uptrend, a third challenge of the $0.199 resistance could be on the table.

A successful breakout above that level would likely trigger a move toward the next resistance zone around $0.21.

And if the bullish momentum continues to build, there’s potential for an extended rally toward the $0.258 level.

Bitcoin has long been regarded as a store of value, often compared to digital gold. However, with the rapid advancements in decentralized finance (DeFi) and blockchain infrastructure, the demand for new ways to utilize Bitcoin beyond passive holding has surged.

SatLayer, a pioneering Bitcoin-based infrastructure provider, is at the forefront of this transformation. Through restaking and Bitcoin Validated Services (BVS), SatLayer aims to unlock new use cases for Bitcoin (BTC), ensuring its integration into the changing financial ecosystem. BeInCrypto spoke exclusively with SatLayer’s Co-Founder and CEO, Luke Xie, to explore how Bitcoin’s role expands and what the future holds for Bitcoin-based infrastructure.

Beyond a Store of Value: Bitcoin’s Next Evolution

According to Xie, Bitcoin has transitioned through multiple phases—from an experimental digital currency to a widely recognized store of value. Now, as the broader crypto ecosystem has evolved with smart contract capabilities, Bitcoin holders have sought new opportunities beyond simply holding their assets.

Xie highlights that Bitcoiners have observed Ethereum (ETH) and other chains, including Solana (SOL), offering staking and yield-generating opportunities. Meanwhile, Bitcoin itself has remained largely passive.

According to Xie, SatLayer’s mission is to change that by introducing restaking. In doing so, it enables Bitcoin holders to generate yield while securing decentralized applications (dApps).

 “Naturally Bitcoiners, who’ve watched this innovation occur while they’ve been hodling hard, want a piece of that action: the yield, the use cases, the onchain opportunities. As we all know, the Bitcoin network was not built for that sort of stuff, but developers have painstakingly assembled the infrastructure for Bitcoin DeFi on Layer 2. The fees are low, the throughput is high, and the sort of primitives you’d hope to find – for trading, borrowing, and much more – are all in place,” Xie told BeInCrypto.

Bitcoin Validated Services (BVS): Enhancing Security and Utility

At the core of SatLayer’s vision is Bitcoin Validated Services (BVS). This concept allows dApps to be secured by restaked BTC. Unlike native tokens, which may lack liquidity and stability, Bitcoin’s unmatched value and liquidity make it the ideal asset for securing DeFi protocols.

BVS enables Bitcoin holders to collateralize their assets while simultaneously earning staking rewards. Xie explained how BVS enhances the security and utility of dApps.  

“BVS describes any decentralized application or protocol that uses restaked BTC to secure its network. In real terms, this means that participants will use restaked BTC as collateral in return for having the right to validate network transactions. Because Bitcoin is valuable, this effectively eliminates the incentive for validators to act dishonestly,” Xie noted.

Any crypto asset, such as a native token, could serve as collateral for this purpose. However, it will be less liquid, valuable, and stable than BTC.

Restaking on Bitcoin: Unlocking Yield and Security

Further, Xie shared that SatLayer’s restaking mechanism is designed to be user-friendly and secure. By leveraging Wrapped Bitcoin (WBTC) or BTC Liquid Staking Tokens (LSTs), users can participate in restaking through the SatLayer platform, selecting protocols like Lombard, Lorenzo, or SolvBTC to restake with.

This process allows BTC holders to earn rewards while actively participating in securing emerging Bitcoin-based applications. The system mirrors the success of Ethereum-based restaking protocols like EigenLayer (EIGEN). It allows Bitcoin holders to contribute to network security without custodial risk.

Binance’s recent integration with Babylon, a major staking infrastructure provider, is a significant boost to this ecosystem. BeInCrypto reported that Binance has incorporated Babylon’s BTC staking solutions into its offerings. This marks a major step in legitimizing Bitcoin staking at scale.

This integration provides Bitcoin holders on Binance seamless access to staking and restaking services, further driving institutional and retail adoption. Likewise, with partnerships like Babylon, SatLayer enhances Bitcoin’s staking ecosystem.

“It’s a symbiotic relationship in which everyone benefits – Babylon, SatLayer, and most importantly Bitcoin holders,” he added.

By collaborating with Babylon, SatLayer strengthens Bitcoin’s DeFi presence. It creates a strong framework where BTC can be staked and restaked without compromising security. The synergy between these platforms accelerates Bitcoin’s growth from a passive store of value into an active financial instrument within the broader crypto economy.

Security and Future Innovations

Security remains a top priority for SatLayer. Xie emphasizes that rigorous audits and careful protocol design ensure that Bitcoin restaking maintains the security and decentralization that Bitcoin is known for.

Looking ahead, SatLayer plans to introduce AI-powered yield optimization. The firm also anticipates on-chain insurance backed by Bitcoin collateral and streamlined restaking services. Xie also sees Bitcoin infrastructure growing rapidly over the next five years.

“It’s still very early for restaking, so the obvious answer is a massive increase in TVL and the number of active users. It’s a self-fulfilling Simpsons nuclear power plant ‘days without incident’ narrative: the longer that Bitcoin restaking operates successfully, the greater the trust it will gain,” Xie concluded.

As Bitcoin grows, SatLayer’s innovations could be crucial in transforming the world’s most valuable cryptocurrency into a yield-generating asset. With Bitcoin’s infrastructure expanding, coupled with these developments, the pioneer crypto could go beyond its role as digital gold and transition into a fully integrated, yield-generating asset within the broader crypto economy.

Its dominance in the digital economy is poised to grow beyond being just a store of value.