Bitcoin, the first and most widely used cryptocurrency, may surge even more by the 2024 year-end, as compiled by Bernstein. According to the firm’s analysts, Bitcoin might surge up to $90,000 in case Trump wins the November elections. This rosy outlook has been obtained while evaluating the macroeconomic factors and random impacts that Trump can have on the US economical context.
Trump’s Influence on Bitcoin
Bernstein analysts observe that the existent of Trump in the White House can result in what they refer to as a “Trump trade. ” This particular occurrence would definitely encourage the use of Bitcoin since Trump is favorable to the Bitcoin industry and is more disposed towards pro-business policies. Trump has recently approved Bitcoin as a digital where it is likely to have a growing importance in the US financial market but in the previous years he was eradicated to digital currencies.
Specifically, Trump’s approach could result in the relaxation of the regulation or at least a shift which is more friendly to Bitcoin. Of course, traders look forward to this possibility as contrary to polls conducted by various agencies, decentralized platforms such as Polymarket give a greater chance of Trump’s victory. This could take Bitcoin to between $80,000 and $90,000 by December 2024, Bernstein says. On the other hand, if Biden loses and his Vice President Kamala Harris emerges the winner, then the market may once again react in the negative and Bitcoin fall to a range of $40000-$30000.
Bitcoin’s Current Performance
However, it turned out that after this year’s peak in May, Bitcoin was range-bound between $50,000 and $60,000 in the recent past. This is because risk factors arising from the market environment, regulation, and general macro-economic factors cannot be overlooked. Some investors still fear Bitcoin’s volatility and its unpredictability that can be affected by an event such as the halving in early 2025. This one improves the security of the network but the halving that decreases the Bitcoin mining rewards by 50% causes confusion in the market.
But Bernstein doesn’t lose sight of the big picture as he believes in the cryptocurrency in the future. It is for this reason that the analysts outline factors such as that of ETFs inflows into bitcoin as well as low leverage among miners; all factors which could reduce the effects of halving on the bitcoin price. These positive factors combined with the chance of a Trump win could actually create the environment for Bitcoin not only to bounce back but to go to record peaks.
Long-Term Outlook
Bernstein sees the future beyond $90,000 in 2024, however, the immediate goal is to reach short-term goal of $90,000. The firm has earlier expected that Bitcoin would rise to $200,000 in by the end of 2025 and $500,000 in the year 2029. Such forecasts can be explained by the expected growth of bitcoin ETF markets and active purchases in these markets starting from now. For instance, Standard Chartered hiked its year-end Bitcoin price estimate to $150000 based on comparable circumstances and the raising adoption in the financial industry.
Meanwhile, Bitcoin stakeholders will be observing the political events including the American presidential elections. The Trump win could be a massive boost to the cryptocurrency market; the opposite may turn out to be a period of stagnation. In any case, the further months can be viewed as critical for Bitcoin’s prospect.
