Standard Chartered Bank predicts a new all-time high for Bitcoin by August and a whopping $100,000 price tag by November, driven by political developments and the U.S. presidential election.
Optimistic Bitcoin Price Prediction
Standard Chartered Bank's head of forex and digital assets research, Geoffrey Kendrick, has forecasted that Bitcoin's price could reach a new all-time high by August, followed by a surge to $100,000 by the U.S. presidential election in November. This optimistic prediction reflects the bank's analysis of current market conditions and political factors.
Recent Performance and Catalysts
Bitcoin's existing all-time high of over $73,000 was achieved in March 2024, primarily due to the January approval of Spot Bitcoin ETFs. Standard Chartered now identifies the upcoming U.S. presidential race as a potential catalyst for further price increases. Kendrick asserts that the political landscape, particularly the candidates involved, will play a crucial role in Bitcoin's performance.
Political Influence on Bitcoin Prices
The $100,000 prediction hinges on the assumption that President Joe Biden will remain in the presidential race. According to Kendrick, Biden's continued participation is perceived as beneficial to Donald Trump's chances, who is viewed as "bitcoin-positive." Kendrick highlights a positive correlation between Trump's electoral prospects and Bitcoin's price, noting that both regulation and mining activities could see more favorable conditions under a Trump administration.
Other Potential Scenarios and Market Reactions
Kendrick also modeled a scenario where Biden withdraws from the race in late July, which could result in Bitcoin prices falling to $50,000-$55,000. He elaborates that if Biden is replaced by a highly credible Democratic candidate, such as Michelle Obama, Bitcoin prices might remain subdued. Conversely, if Biden remains in the race, Kendrick suggests that Bitcoin represents a strong buying opportunity.
The critical date for determining Biden's participation is August 4, the deadline for presidential candidates to register in Ohio. Kendrick explains that if Biden is still the Democratic nominee on this date, he will likely continue his candidacy until the November election.
BTC’s Bull Run Driven By Politics
In early June, Kendrick reaffirmed his year-end Bitcoin price target of $150,000 and a forecast of $200,000 by the end of 2025. He noted that reaching $150,000 by the end of 2024 would place Bitcoin in the $3 trillion market cap club, a milestone recently achieved by Nvidia.
As the U.S. presidential race unfolds, market participants will closely monitor developments, which could substantially impact Bitcoin's trajectory. The bank's analysis presents a bullish outlook conditional on key political developments, particularly President Biden's candidacy status.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
