Republican Donald Trump's victory in the US presidential election in November could lead to a sharp rise in the price of Bitcoin by the end of the year due to the Trump administration's commitment to cryptocurrencies, according to Gautam Chhugani, an analyst at brokerage Bernstein.
Points of attention
- Analyst Gautam Chhugani predicts a sharp increase in Bitcoin price to $80-90,000 by the end of the year if Trump wins the US elections.
- A positive regulatory environment for cryptocurrencies could enhance digital asset competitiveness and accelerate their development.
- Forecasts suggest a potential Bitcoin price surge to $1 million by 2033, with a 659% increase projected by 2029, reaching half a million dollars.
- Trump's stance on cryptocurrencies and potential deregulation could impact the industry's fortunes and boost Bitcoin's value.
- Market analysts highlight the significance of political outcomes on the cryptocurrency industry and predict continued growth for Bitcoin over the coming years.
How much can the price of bitcoin increase if Trump wins the US elections
"Cryptocurrencies are that rare case where a difference in the outcome of an election can determine the fate of an industry," Chhugani emphasizes.
In July, during a speech at a Bitcoin conference, the price of Bitcoin increased significantly, following Trump's 45-minute speech on cryptocurrency policy.
Trump said he would lay out a plan "to ensure that the US becomes the crypto capital of the planet and the bitcoin superpower of the world."
Chhugani predicts that if Trump wins the election, by the end of the year, the price of bitcoin may rise to $80,000-$90,000.
This will be a 59% increase from the current price of $56,539.
In March, Bitcoin reached a maximum of just under $74,000.
The analyst also emphasized that the market has not yet appreciated the positive regulatory environment for cryptocurrencies.
A positive regulatory environment will remove the political risk for financial institutions and banks to participate, thereby removing obstacles for digital assets to compete with traditional assets for institutional flows, Chhugani explains.
Deregulation of cryptocurrencies could spur innovation in the sector and bring users back into the ecosystem. Bitcoin may be predicting a possible Trump victory in November, with the cryptocurrency up 34% year-to-date.
Analysts predict the growth of Bitcoin over the coming years
Bernstein predicts that by 2029, the price of bitcoin will increase by 659% from the level of June 14 and reach half a million dollars.
According to analysts, the basic forecast for the price of Bitcoin is $200,000 by 2025, $500,000 by 2029, and $1 million by 2033.
