Standard Chartered Says Donald Trump Presidential Win Could Boost Bitcoin
Standard Chartered predicts a second Trump term could boost Bitcoin, enhancing regulatory conditions and market confidence.
Trump’s return could drive foreign US Treasury withdrawal, fostering Bitcoin’s use as a hedge against de-dollarisation.
Donald Trump, former US President and currently in the running for a return to the White House – or visit to the jailhouse, depending on how his trials pan out – has recently been something of a crypto supporter. While he used to be a staunch critic, in February he almost endorsed the asset class, saying he can ‘live with it’.
Related: Ethereum Network Rebounds, Sees Massive Growth as ETH Holds Above $3K
Now, British investment bank Standard Chartered has released a report viewing a Trump victory in November as beneficial for crypto.
Trump Administration Broadly Positive for Crypto: Standard Chartered
Standard Chartered analyst Geoff Kendrick wrote that Trump may be the better alternative for crypto and that a decline in confidence in US markets could boost BTC:
We think that a second Trump administration would be broadly positive via a more supportive regulatory environment. In a scenario of U.S. fiscal dominance, we think Bitcoin would provide a good hedge against de-dollarization and declining confidence in the U.S. Treasury market.
The report said that if Trump were to be re-elected, his administration could potentially lead to a faster withdrawal of foreign US Treasury buyers due to fiscal concerns, with his previous term showing an average annual net sale of US government debt significantly higher than under Biden.
Furthermore, a second Trump term could actively support Bitcoin and digital assets through less stringent regulation and the approval of US Spot ETFs, according to the bank’s report. Standard Chartered maintains a bullish Bitcoin price target of US$150,000 (AU$228,210) by the end of this year and US$200,000 (AU$304,281) by the end of 2025.
Trump on Crypto: “I Make Money With it and Have Fun”
Trump’s stance on Bitcoin has evolved from strong opposition to a more accepting view, possibly influenced by wider adoption and the SEC’s approval of Bitcoin ETFs.
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Initially critical, citing concerns about legitimacy and competition with the dollar, Trump has recognised the growing integration of Bitcoin into the financial system. His recent comments suggest an acknowledgment that Bitcoin can coexist with the US dollar, reflecting a pragmatic acceptance of its increasing use in mainstream finance.
I make money with it, I have fun with it too. Crazy new currencies, that’s what I call them. They’re crazy new currencies, whether it’s Bitcoin or others.
The post Standard Chartered Says Donald Trump Presidential Win Could Boost Bitcoin appeared first on Crypto News Australia.
Filed under: Bitcoin - @ May 8, 2024 5:21 am