Bitcoin Expected to Hit $200K by 2025 Regardless of Election
Geoff Kendrick, the global head of digital assets research at Standard Chartered, is optimistic about Bitcoin’s (BTC) future. He predicts that the price of Bitcoin will reach $200,000 by the end of 2025 regardless of the outcome of the 2024 United States presidential election.
Factors Driving Bitcoin’s Price Surge
Kendrick highlights three main factors that could drive Bitcoin’s price to new all-time highs:
- Repeal of SAB-121: A rule that currently restricts banks from holding digital assets for clients is expected to be removed.
- Inflation Trends: A slight increase in inflation is anticipated, which could positively impact Bitcoin’s value.
- Positive Inflows into Bitcoin ETFs: The growth and acceptance of Bitcoin exchange-traded funds (ETFs) are expected to drive substantial investment into Bitcoin.
Political Influence on Bitcoin
Kendrick also mentions that both former President Donald Trump and Vice President Kamala Harris are likely to support the repeal of SAB-121. Changes in the leadership at the Securities and Exchange Commission (SEC) could also impact the crypto market positively. Kendrick specifically notes that the current SEC Chair, Gary Gensler, has had a negative impact on the industry.
Market Dynamics and Bitcoin’s Future
Kendrick points out that the yield on 10-year bonds has surpassed that of 2-year bonds for the first time in several quarters, indicating a positive economic outlook. He also notes that while inflation expectations are slightly up, real yields are down, which could be beneficial for Bitcoin.
Bitcoin Price Predictions
Kendrick forecasts that the price of Bitcoin could reach around $125,000 by the end of 2024 if Trump wins the presidential election. However, he remains confident that Bitcoin will hit $200,000 by the end of 2025, regardless of who is in the White House.
Crypto in the 2024 US Presidential Election
As the November 2024 election approaches, crypto political action committees (PACs) are investing millions in campaigns to secure pro-crypto policies and candidates. This election marks the first time that crypto has become a national issue in the United States. A recent poll by the Gemini exchange revealed that about 73% of US-based respondents said that crypto policy would influence their vote.
In summary, various factors including regulatory changes, economic trends, and political dynamics are expected to drive Bitcoin’s price to new heights in the coming years.
