Trump Victory Could Send Bitcoin Soaring to $125,000: Standard Chartered Predicts Crypto High in 2024

Trump Victory Could Send Bitcoin Soaring to $125,000: Standard Chartered Predicts Crypto High in 2024Standard Chartered analysts have released a report stating that Bitcoin will reach an all-time high by the end of 2024, regardless of who wins the US presidential election. However, a significant disparity exists between the two candidates: if Trump is elected, cryptocurrency will surge dramatically to $125,000; if Harris wins, the cryptocurrency is projected to rise to $75,000

Trump Victory Could Send Bitcoin Soaring to $125,000: Standard Chartered Predicts Crypto High in 2024

Standard Chartered analysts have released a report stating that Bitcoin will reach an all-time high by the end of 2024, regardless of who wins the US presidential election. However, a significant disparity exists between the two candidates: if Trump is elected, cryptocurrency will surge dramatically to $125,000; if Harris wins, the cryptocurrency is projected to rise to $75,000.

This year's election has witnessed a remarkable 180-degree shift in Trump's stance on cryptocurrency, transforming him from an opponent to an ardent supporter. He has repeatedly expressed his approval of cryptocurrency, even labeling himself the "cryptopresident." At the Bitcoin 2024 conference in July, Trump went a step further, announcing that if elected, he would designate Bitcoin as a US strategic reserve asset, abolish federal crypto regulations, and replace Gary Gensler, the current chair of the US Securities and Exchange Commission.

Geoff Kendrick, Global Head of Digital Asset Research at Standard Chartered, wrote in the report that if Trump were to secure the election, Bitcoin could reach $125,000 by year-end. As of press time, Bitcoin is trading at $58,012, implying a surge of nearly 115%.

Harris Victory Also Positive for Bitcoin

While Harris hasn't been as vocal in her support of Bitcoin as Trump, Kendrick believes her approach to crypto will be more open than some anticipate, especially compared to Biden. For example, although Biden maintained a bill preventing banks from offering digital asset custody, Harris might reverse course.

Kendrick estimates that if Harris triumphs in the presidential election, Bitcoin will reach $75,000 by the end of the year though far less than the outcome under Trump, it still surpasses Bitcoin's previous all-time high of nearly $74,000. He wrote in the report, "In the event of a Harris victory, we believe that Bitcoin would rally after an initial dip, once the market recognizes that regulatory changes under a Harris administration are still possible."

Other Positive Factors

Gautam Chhugani, an analyst at Bernstein, also predicts that Bitcoin will skyrocket after a Trump victory because the market hasn't yet priced in the potential for a subsequent loosening of regulatory restrictions. He expects Bitcoin to reach $90,000 in December if Trump wins.

Meanwhile, Kendrick highlights other positive factors for Bitcoin in the coming months. For instance, Bitcoin is poised to benefit from US Treasury yields steepening again, and the momentum of Bitcoin ETF inflows is expected to resume. He acknowledges that Bitcoin ETF inflows have been modest over the past few months but that this dynamic is often seasonal, adding that risk appetite has been low this summer.

Kendrick remains adamant that Bitcoin's price will hit $200,000 by the end of next year, regardless of who is elected president.

Trump's Crypto Transformation

Trump's shift on cryptocurrency is surprising. He had previously criticized cryptocurrency multiple times, even associating it with money laundering and illicit activities. However, recent years have witnessed a dramatic change in his stance towards cryptocurrency.

During the 2020 US presidential election, Trump expressed openness to cryptocurrency. He even indicated that he would consider making Bitcoin a US strategic reserve asset if elected. At the Bitcoin 2024 conference in July, Trump made a bold announcement that he would designate Bitcoin as a US strategic reserve asset and dismantle federal cryptocurrency regulations.

Trump's Policy Stance

Trump's cryptocurrency policy stance, particularly his proposal to make Bitcoin a US strategic reserve asset, has sparked widespread debate. Supporters argue that this would establish the US as a global leader in the cryptocurrency space and propel the widespread adoption of cryptocurrency.

However, critics worry that making Bitcoin a US strategic reserve asset could pose risks to the financial system and diminish the status of the US dollar. Additionally, some express concern that eliminating federal crypto regulations could lead to a lack of market oversight, exacerbating fraud and money laundering.

Harris's Crypto Policy Stance

Compared to Trump, Harris's stance on cryptocurrency has been more cautious. She hasn't explicitly stated whether she supports making Bitcoin a US strategic reserve asset, nor has she divulged detailed plans for how to regulate cryptocurrency.

However, Harris has previously expressed interest in cryptocurrency technology. She has also stated her desire to see the US become a leader in the digital asset realm.

Conclusion

The cryptocurrency space is poised for significant change, regardless of who wins the US presidential election. Trump's policy stance could result in a substantial surge in Bitcoin, while Harris's policies might be more measured.

Ultimately, Bitcoin's price will be influenced by numerous factors, including the regulatory environment, market sentiment, and technological advancements. Nonetheless, Standard Chartered analysts believe that Bitcoin will hit an all-time high by the end of 2024, regardless of who wins the presidency.