Wall Street investment bank Bernstein has reiterated its optimistic outlook for the cryptocurrency market, forecasting that the current bull cycle will extend through 2026. This projection is driven by significant developments in stablecoins and the growing adoption of tokenized securities.
Furthermore, Bernstein analysts have highlighted the potential for major growth at retail trading platform Robinhood. They predict the platform's cryptocurrency trading volume will triple by next year, leading to a substantial increase in related revenue. Consequently, Bernstein has doubled its price target for Robinhood's stock to $105.
The Crypto Bull Run Is Far From Over
Despite recent market uncertainty and periods of weakness, Bernstein's analysis suggests the bullish momentum is intact. The bank attributes the longevity of this cycle to fundamental advancements within the digital asset ecosystem, rather than mere speculative fervor.
Key drivers include the maturation of stablecoins, which provide a crucial bridge between traditional finance and crypto, and the rapid expansion of tokenized real-world assets (RWAs). These innovations are creating a more robust and integrated financial infrastructure, supporting sustained growth through 2026.
Robinhood’s Crypto Volume Set to Triple
Robinhood, known primarily as a retail-focused trading platform, currently derives about 60% of its transaction-based revenue from stocks and options, with cryptocurrencies accounting for the remaining 40%. However, Bernstein anticipates a dramatic shift in this revenue composition.
Analysts project that Robinhood's crypto trading volume will surge threefold by 2026. This growth is expected to significantly boost the platform's crypto revenue throughout 2025 and 2026. A more favorable U.S. regulatory environment is cited as a key factor that will enable Robinhood to participate more aggressively in the crypto market and unlock this new revenue potential.
This optimistic outlook for its crypto business is the primary reason behind Bernstein's upgraded price target of $105 for Robinhood stock. For those interested in tracking market movements and platform performance, 👉 explore real-time analytics tools can provide deeper insights.
Bitcoin Price Prediction: $200,000 by Year-End
Bernstein has maintained a strongly bullish stance on Bitcoin. In a report earlier this year, the firm's analysts declared that cryptocurrency has entered an "Infinity Age"—a prolonged phase of continuous evolution and expansion where digital assets become an uncontroversial and integral part of the global financial system.
The report emphasizes that cryptocurrency is now firmly within the focus of corporations, banks, and institutions, seamlessly integrating into the very fabric of our financial infrastructure. Bernstein's confidence in Bitcoin reaching $200,000 by the end of the year has been strengthened by increasing discussions among sovereign nations about establishing Bitcoin reserves.
Corporate adoption of Bitcoin is also expected to continue its upward trajectory. Bernstein forecasts corporate Bitcoin inflows could reach $50 billion in 2025. MicroStrategy's pioneering strategy is likely to continue leading this trend, with small and medium-sized enterprises following closely behind.
Frequently Asked Questions
Why does Bernstein believe the crypto bull run will last until 2026?
Bernstein analysts point to fundamental technological developments, such as the growth of the stablecoin ecosystem and the tokenization of traditional securities. These innovations are building a more mature and integrated financial infrastructure, which supports long-term, sustainable growth beyond short-term speculation.
What is driving the expected growth in Robinhood's crypto business?
The growth is anticipated due to a more favorable U.S. regulatory outlook, which will allow the platform to engage more deeply with crypto assets. Additionally, a broader market recovery and increasing retail investor interest are expected to triple its crypto trading volume by 2026.
What is the "Infinity Age" mentioned in Bernstein's report?
The "Infinity Age" refers to a new, long-term phase for cryptocurrencies characterized by continuous development and mainstream integration. In this era, digital assets are expected to become a standard, non-controversial component of the global financial system, embraced by corporations and institutions.
How can corporate adoption influence Bitcoin's price?
Large-scale corporate adoption, exemplified by companies like MicroStrategy adding Bitcoin to their treasury reserves, creates significant, sustained buying pressure. Bernstein predicts $50 billion in corporate inflows could enter the market in 2025, directly contributing to upward price movement.
What are tokenized securities and how do they fuel the market?
Tokenized securities are digital representations of traditional assets like stocks or bonds on a blockchain. They improve market efficiency by enabling faster, cheaper settlement and opening up new avenues for liquidity and investment, thus driving broader crypto adoption.
Is Bernstein's $200,000 Bitcoin prediction realistic?
While price predictions are inherently uncertain, Bernstein's forecast is based on specific catalysts, including potential sovereign adoption and substantial corporate buying activity. These fundamental factors provide a reasoned basis for such a bullish outlook, though market volatility remains a constant factor.