Here’s how Harris and Trump winning would affect them

On By Littum

Upper line

Bitcoin prices could swing wildly based on the results of the presidential election, analysts at a Wall Street research firm warned Monday, as former President Donald Trump positions himself as the pro-crypto candidate.

Key facts

Bernstein analysts led by Gautam Chhugani wrote on Monday that the election will have a “short-term impact on crypto sentiment” and on the price of dominant cryptocurrency bitcoin, which is around $68,000, down from last week’s seven-month high of more than $73,000.

Bitcoin could rise to $80,000 to $90,000 over the next two months if “pro-crypto candidate” Trump wins the election, Chhugani predicted, shattering the previous high of nearly $73,800 set in March.

And if Vice President Kamala Harris prevails, Chhugani warned that bitcoin “could test” a bottom of $50,000, a level not seen since February, representing a more than 25% drop from Monday’s prices.

Chhugani noted that the potentially looming bitcoin bearishness is a result of the Biden administration’s “hawkish” position on regulation of the crypto industry.

Surprising facts

The highly bullish Bernstein Group kept their $200,000 price target for bitcoin by the end of 2025 regardless of the election outcome, explaining that the “genie is out of the bottle” for the $1.4 trillion digital asset with spot bitcoin exchange-traded funds (ETFs). recent momentum bolstering the value of the decentralized currency.

Key background

Standard Chartered analyst Geoff Kendrick wrote last month, he expects bitcoin to end the year at $75,000 if Harris wins and $125,000 if Trump does. Price targets for highly volatile bitcoin prices are probably less reliable than similar forecasts for other asset classes, such as stocks, as bitcoin prices move according to the market’s perception of its future use case, rather than based on earnings or other more fundamental reasons. An declared bitcoin skeptic While in the Oval Office, Trump earned endorsements from crypto leaders such as billionaires Marc Andreessen, Cameron Winklevoss and Tyler Winklevoss this cycle as he warmed to the industry on the campaign trail and pressed for a long time bitcoin investor JD Vance as his running mate.

Key

In recent months, bitcoin prices and Trump election odds on blockchain-based election betting platform Polymarket have moved in near-lock step (see chart below). Bitcoin prices hit a seven-month high on the same day that Trump’s election odds hit a multi-month high, and fell over the weekend as Harris’ election odds rose on the betting market.

Further reading

ForbesThese Pro-Crypto Billionaires Have Endorsed Trump or Harris As Election Day ApproachesBy Shut up Roush