The outlook for bitcoin (BTC), the world’s largest cryptocurrency, is positive and the price is expected to remain elevated in 2025, German lender Deutsche Bank (DB) said in a report on Wednesday.

A more favorable regulatory and policy backdrop in the US, growing institutional adoption and a looser monetary policy from the Federal Reserve are all expected to support the cryptocurrency’s price, the report said.

The Trump administration’s support for crypto means the market’s current bull run should continue, and ongoing presidential backing is key to “the continuation of crypto’s golden era,” analyst Marion Laboure wrote.

While President Trump did not sign any crypto-related orders on his first day in office, the announcement that the Securities and Exchange Commission’s (SEC) will develop a regulatory framework for digital assets is a first step toward an overhaul of the industry, the report said.

The appointment of Paul Atkins as SEC chairman is also a sign of a “shift towards an innovation-friendly approach,” Deutsche Bank noted.

With the Markets in Crypto-Assets (MiCA) regulation coming into force in the EU in December, the European crypto market now enjoys increased legitimacy and security, the report added.

More clarity on the potential establishment of a US bitcoin reserve could come in the first quarter, the bank said.

Read more: Bitcoin is no longer a niche investment as institutional adoption takes off: WisdomTree