The inclusion of Bitcoin in pension plans in the U.S., particularly the popular 401(k) system, could serve as a powerful driver for the cryptocurrency’s price growth. This opinion was expressed by Andre Dragosh, head of European research at Bitwise.
This is reported by Finway
The Impact of Pension Plans on the Cryptocurrency Market
According to estimates from Bitwise, the decision to add crypto assets to pension portfolios could impact Bitcoin even more than the launch of spot ETFs. Dragosh explains that potential investment of at least 1% of funds from the DC sector, which amounts to $12.2 trillion, could lead to approximately $122 billion in new capital entering the market.
“This signals the potential for an additional $122 billion in new capital, assuming that a modest 1% of funds in this sector are allocated to crypto assets. Looking at 401(k) and DC overall — they are enormous. And 1% is a relatively conservative estimate for a sector worth $12.2 trillion,” he stated.
Analysts at the company also expect that most pension asset management agents will recommend allocating 2.5–3% of portfolios to Bitcoin, which could provide an additional influx of funds amounting to up to $360 billion. In comparison, the Bitcoin spot ETF market is estimated to be worth $150.89 billion by August 2025.
Bitcoin Price Forecast by the End of 2025
In early August 2025, U.S. President Donald Trump signed an executive order allowing pension savings to be invested in private equity, real estate, and virtual assets. According to Dragosh, this move could have a more significant impact on the cryptocurrency market than the approval of spot ETFs.
The expert predicts that the first investments from pension accounts into Bitcoin could begin as early as fall 2025. If the U.S. Federal Reserve lowers interest rates in September, the price of Bitcoin could reach $200,000 by the end of the year.
At the same time, the likelihood of a softening of the Fed’s monetary policy has somewhat decreased following the release of the Producer Price Index data for July, which led to a correction in the cryptocurrency market on August 18, 2025.