The upcoming US Presidential election is expected to have significant ramifications for the cryptocurrency market, particularly Bitcoin. Market analysts have been closely watching the developments, considering the varying approaches of the candidates. With President Biden’s administration having imposed stringent regulations on the crypto sector, a substantial impact on Bitcoin prices is anticipated depending on the election outcome. Analysts from Bernstein have projected different price targets for Bitcoin based on who wins the election.
What Will Happen if Trump Wins?
Should Donald Trump emerge victorious, several favorable conditions for Bitcoin could unfold. The analysts forecast that the Federal Reserve might consider including Bitcoin in its reserves, and regulatory clarity could be established with the dismissal of Gary Gensler, the current SEC Chair. Such developments would likely enhance Bitcoin’s legitimacy and adoption, driving its price significantly higher.
What If Harris Takes the Lead?
Conversely, if Kamala Harris wins, the continuation of Biden’s policies is expected. Harris, having been Vice President under Biden, would likely maintain the current regulatory framework, which has not been very favorable to the crypto industry. This scenario could lead to a less optimistic outlook for Bitcoin, maintaining its price within a more conservative range.
Analysts’ Predictions
Based on the current political landscape and polling data, Bernstein analysts have outlined their price targets for Bitcoin:
- If Kamala Harris wins, Bitcoin may stabilize between $30,000 and $40,000.
- If Donald Trump wins, Bitcoin could soar to between $80,000 and $90,000.
These projections indicate a substantial difference in market expectations tied directly to the electoral outcome.
Polls currently show Harris leading with 48% to Trump’s 43%, though crypto prediction platforms favor Trump by 7 points. An upcoming debate between the two candidates is anticipated to provide further insights into their platforms, indirectly influencing Bitcoin’s near-term trajectory. The debate may offer voters a clearer picture of who might win, thus impacting market sentiment and Bitcoin prices accordingly.