Bitcoin's Potential Surge in Light of US Presidential Contest
Standard Chartered has unveiled its latest forecast on bitcoin's price trajectory as the November U.S. presidential election draws near. Geoffrey Kendrick, the bank's head of forex and digital assets research, shared insights on Tuesday, indicating a potential milestone for bitcoin with an all-time high expected in August, followed by a projected $100,000 valuation by election day.
The analysis hinges significantly on the political landscape, particularly on the probability of President Joe Biden continuing his candidacy, which could affect market sentiments favorably towards former President Donald Trump securing a second term. This scenario is perceived as conducive to bitcoin's growth, given expectations of a regulatory environment under Trump that would support digital asset markets.
Trump himself has embraced the moniker of the "crypto president," having recently engaged with leaders in the bitcoin mining sector, expressing explicit support for bitcoin mining initiatives. He has also pledged to reverse anti-crypto policies enacted during the Biden administration and advocated for the release of Ross Ulbricht. Notably, prominent figures within the crypto community, such as Jesse Powell of Kraken and Cameron and Tyler Winklevoss of Gemini, have backed Trump's campaign financially.
Kendrick further elaborated on the rationale behind these predictions, emphasizing potential regulatory improvements and a more favorable outlook for bitcoin mining activities under a Trump administration.
Additionally, Standard Chartered outlined scenarios for the presidential race, highlighting the prospect of Biden withdrawing from the race in late July as the least likely scenario, which could temporarily impact bitcoin prices, potentially lowering them to the range of $50,000 to $55,000.
Pointing to August 4 as a critical date, Kendrick explained its significance in Ohio's presidential candidacy registration requirements, noting its potential implications on the election outcome and consequently on bitcoin's market dynamics leading up to November.
Looking ahead, Standard Chartered has maintained its year-end bitcoin price target at $150,000, with a longer-term outlook projecting a valuation of $200,000 by 2025.
What are your thoughts on Standard Chartered's bitcoin forecasts amidst the backdrop of the U.S. presidential race? Share your opinions in the comments below.