Bernstein Predicts Extended Bull Market for Bitcoin, Ethereum, XRP, and Solana

Bernstein Predicts Extended Bull Market for Bitcoin, Ethereum, XRP, and Solana

Structural Drivers Behind the Rally

Research firm Bernstein has projected that the current rally in major cryptocurrencies—including Bitcoin (BTC), Ethereum (ETH), XRP, and Solana (SOL)—is poised to develop into a “long and exhausting bull market.” In a memo released to clients on Monday, Bernstein analysts emphasized that this cycle differs fundamentally from previous hype-driven surges. They attribute the momentum to deep structural trends such as increasing institutional adoption, enhanced regulatory clarity, and the emergence of a fully on-chain financial system.

Bernstein’s report highlights an unprecedented conviction in blockchain and digital assets, noting that institutional investors are now the primary drivers of the market, while retail participation remains comparatively subdued. Unlike earlier cycles that often followed Bitcoin’s four-year halving pattern, this bull run is expected to be “structural,” characterized by the on-chain movement of financial assets—starting with stablecoins—and the gradual establishment of an internet-native financial ecosystem.

The Role of Public Blockchains and Regulatory Developments

Public blockchains like Ethereum and Solana are identified by Bernstein as critical components of the evolving global economic infrastructure, enabling programmable settlement and tokenized finance. The firm forecasts that stablecoins, which currently represent a $230 billion market, will be instrumental in driving widespread adoption of on-chain payments, particularly in business-to-business transactions and international remittances.

Regulatory progress is anticipated to be a key catalyst in this transformation. Bernstein points to the expected passage of the GENIUS and CLARITY Acts in the United States, which would empower regulated entities such as Circle, Coinbase, and Robinhood to anchor a reshored crypto trading and settlement environment. The firm predicts that the U.S. share of global crypto trading could increase from 10% to 13%, supported by the expansion of onshore crypto derivatives markets.

Market Challenges and Industry Responses

Despite its optimistic outlook, Bernstein acknowledges several challenges that could temper the extended bull market. These include regulatory scrutiny, persistent market volatility, and competition from emerging cryptocurrencies. Market reactions have been mixed: while some investors are buoyed by growing institutional interest and regulatory approvals—such as the Grayscale Crypto ETF—others remain cautious amid macroeconomic uncertainties and unresolved regulatory debates.

In response to these dynamics, competitors are adjusting their strategies. Anthony Scaramucci, for instance, has suggested that Solana may surpass Ethereum in market capitalization, reflecting rising confidence in alternative blockchains. Meanwhile, bullish momentum around XRP has sparked speculation about a potential breakout, although the broader market remains vigilant.

The asset management sector is also experiencing significant shifts. Bitcoin and Ethereum exchange-traded funds (ETFs) now oversee nearly $164 billion in assets, with BlackRock’s IBIT ETF generating more revenue than any other fund in the firm’s portfolio.

Bernstein’s analysis underscores a potentially transformative and prolonged bull market for leading cryptocurrencies, while also highlighting the sector’s need to navigate regulatory, competitive, and macroeconomic challenges in the coming months.