Tech stocks weren’t the only ones to suffer in Monday’s Wall Street bloodbath. Following the emergence of Chinese AI startup DeepSeek, which has challenged the U.S. dominance in artificial intelligence, cryptocurrencies also took a massive beating due to the broader tech stocks’ sell-off, which saw Bitcoin’s (BTC) price tumble to $95,000 from its recent highs.

However, Bitcoin has made a dramatic turnaround in the past 24 hours, surpassing the $100,000 mark once again, and is on track to continue its northbound journey. Monday’s decline was more out of panic and temporary. Needless to say, Bitcoin still holds immense potential and, experts believe, is on track to surpass $150,000 in the near term.

Given the positive sentiment, investing in Bitcoin-centric stocks like NVIDIA Corporation NVDA, Interactive Brokers Group, Inc. IBKR and Robinhood Markets, Inc. HOOD would be a smart decision. These stocks have strong growth potential for 2025. Each of these stocks has seen positive earnings estimate revision in the past 60 days.

Bitcoin Rebounds After Monday’s Sell-off

Bitcoin and other cryptocurrencies took a massive hit on Monday, recording the largest intraday loss since Dec. 6. The decline was triggered by concerns over DeepSeek's new AI model. The new AI model, reportedly, was developed at a very low cost and is being hailed as groundbreaking.

This has sparked concerns that it could challenge the dominance of U.S. tech firms in the AI space. Although Bitcoin is not directly related to DeepSeek's AI model, its price fluctuations are frequently tied to riskier assets like tech stocks.

This led Bitcoin to tank below $95,000 on Monday. However, the cryptocurrency has since rebounded and was trading above $102,650 on Tuesday morning. Bitcoin hit an all-time high of $106,533 on Dec. 22 and has hovered around $102,000 for most of January after a stellar 2024.

Bitcoin Poised for Further Gains

Bitcoin has been hitting new highs over the past three months on optimism surrounding President Donald Trump’s pro-crypto stance. Trump’s election win gave the cryptocurrency a major boost in November.

During his campaign, Trump promised to turn the United States into the "crypto capital of the world," outlining initiatives to create a strategic Bitcoin reserve and hire regulators who support digital assets. After winning, he appointed several crypto-friendly people to key cabinet and regulatory positions.

Last week, after his inauguration, Trump signed an executive order to strengthen the cryptocurrency industry. The order created a working group that will help the White House on crypto policies and has already suggested a framework for digital assets in the United States. Experts believe that Trump’s crypto-friendly stance will make 2025 another impressive year for cryptocurrencies.