Late last year, bitcoin crossed $100,000 for the first time. After a brief bout of euphoria in early 2025, the market slipped into a corrective phase. Even so, more countries are debating broader adoption of digital assets and the creation of national bitcoin reserves.
We spoke with Bitget
chief Gracy Chen. She assessed the state of the crypto market, outlined this year’s dominant themes and offered forecasts for the industry’s future.
Meme tokens and AI projects: where speculation meets innovation
One of the year’s early curiosities was the launch and rapid ascent of Trump-themed meme coins tied to Donald Trump and his family. TRUMP and MELANIA made some holders millionaires within hours.
“Nevertheless, these tokens have no real value for the market and primarily serve the interests of certain individuals and their circles,” said Gracy Chen.
In her view, AI tokens are more promising. Developers are building agents that learn from real traders’ decisions, potentially improving market analysis and, over time, replacing “outdated” trading bots.
“AI tokens are an exciting combination of technology and finance. Projects such as SingularityNET and Ocean Protocol show how AI can extend the capabilities of blockchain. At the same time, it is important for investors to scrutinise the technologies underpinning these tokens, their real use cases and the competence of their teams,” emphasised Gracy Chen.
On hacks and manipulation
One of the most dramatic events of the first quarter of 2025 was the biggest hack in crypto’s history, in which Bybit lost $1.5bn in Ethereum (ETH). Notably, Bitget was among the first to respond—the trading platform transferred 40,000 ETH to support its rival’s liquidity.
Two projects also came under scrutiny over liquidity games. Jelly, a token issued on Hyperliquid, was manipulated by a large investor, triggering a sharp price spike. Despite activating safeguards, Hyperliquid failed to stabilise the situation, leading to losses.
“The episode exposed weaknesses in liquidity management across crypto. At Bitget we always stress maintaining robust liquidity reserves and transparency in risk management to protect users’ interests even amid market turbulence,” said Gracy Chen.
The second suspicious case concerned the token of the RWA project Mantra (OM). Liquidity manoeuvres sent the price soaring, which was followed by a 90% plunge.
“This may be linked to highly concentrated token ownership and a lack of transparency in governance. Data show that millions of OM were moved to exchanges, pointing to an insider dump of tokens,” explained the Bitget chief.
In late April, Bitget also accused eight traders of manipulating the token of the game Voxie Tactics (VOXEL). According to Se Jiayin, head of the exchange’s China division, on April 20 accounts linked to the incident received a total of $20m. He also promised that users would be fully compensated.
How to ride out a bear market
Gracy Chen estimates the bear trend could last until September–October 2025, punctuated by brief rallies. To get through this phase with minimal damage, investment approaches need rethinking.
“In a bear market, defensive assets such as stablecoins and tokenised gold perform best. Diversifying across such assets can reduce risk and preserve capital until the market recovers,” noted Gracy Chen.
The CEO of Bitget pays particular attention to tokenised gold:
“Tokenising gold—for example via PAX Gold or Tether Gold—allows investors to hedge market risks. Unlike traditional investments, such tokens are backed by physical gold while remaining liquid and easily divisible.”
Near-term trends
Gracy Chen highlighted five themes that will shape the crypto market in the near term:
- Regulatory frameworks evolve. The European Union already has MiCA rules in force, aiding global recognition of cryptocurrencies. The United States are considering setting up a bitcoin reserve, following the example of El Salvador.
- Tax regimes take shape. More countries are introducing taxes on gains from digital-asset transactions.
- Security hardens. Crypto firms continue to face hacking threats. Expect new AI-driven protections.
- State bitcoin reserves. Discussion of a US bitcoin reserve could mark a step towards state-level acceptance.
- The bear market persists. The trend is likely to continue roughly until the fourth quarter of 2025, with bitcoin not falling below $73,000.
Conclusions
Despite the current correction, crypto is edging towards broader recognition and institutionalisation. Meme tokens still draw investors’ attention but, in the view of the CEO of Bitget, the industry’s future lies in real technological solutions, above all in AI.
Gracy Chen expects the bear phase to last roughly until the fourth quarter of 2025. In such conditions, investors should look at defensive assets and diversify. Meanwhile, regulatory clarity is increasing, which ought to support more sustainable growth over the long term.