Meanwhile, Wall Street analysts also say that the outcome of the presidential election could make a big difference in the price of bitcoin, with former President Donald Trump having put pro-crypto policies on the agenda. Still, despite these potential price hitches, Bernstein’s group expects the price to rise and remain bullish, estimating that bitcoin will get to $200,000 by 2025 due to new bitcoin ETFs and entry into the asset class. Even Standard Chartered’s Geoff Kendrick estimates that bitcoin could close the year at $75,000 if Kamala Harris wins, and at $125,000 if Trump wins.
And the connection between politics and the market price of bitcoin become even more apparent when we see recent price fluctuations mirror, rather closely, the recent shifts in betting odds that Trump will win his re-election bid. Prices and odds peaked in tandem seven months ago and fell at the same time when Harris’s odds started to improve. As we have come to expect from something described by its boosters as highly speculative, the price of bitcoin tends to be driven more by the perception of the market and the political landscape, rather than the kind of traditional measurements of the financial status that, say, the price of wheat or gold might respond to. Trump’s public endorsement of some of the key figures and proposed policies behind crypto during his bid for election, when in office, he has been much more skeptical.
Source: Forbes
