Bernstein states that if Donald Trump wins the 2024 presidential election, bitcoin may rise significantly.
The company predicts that if Trump wins, by the fourth quarter, this cryptocurrency could soar to $90,000.
Bernstein analyst states that owning bitcoin could be the latest choice for the "Trump trade". The company believes that if the former president returns to the White House next year, it could bring substantial profits.
The original 'Trump trade' was named after his victory in the 2016 presidential election, during which the U.S. stock market, treasury yields, and the dollar all surged. Bernstein's report stated that if Trump wins this year's election, it will lead to a rebound in the cryptocurrency, benefiting from increased institutional acceptance and improved regulatory environment.
Bernstein analyst Gautam Chhugani stated in the latest report released on Monday that if Donald Trump wins the U.S. election in November, Bitcoin is expected to reach a new high later this year, and by the fourth quarter, this cryptocurrency could soar to $90,000.
![](https://postimg.futunn.com/news-editor-imgs/20240910/public/17259355708901338835614.png)
Based on the current price of bitcoin of about $57,000, this means there is approximately 58% upside potential. Bitcoin reached a peak of just under 0.074 million dollars in March this year.
He explained that Trump's recent support for the crypto industry indicates that a potential Trump administration will be more crypto-friendly than a Harris government.
"Cryptocurrency is a rare example where different election outcomes might determine the fate of the industry," the report stated.
In recent years, Trump has shown an increasingly evident inclination towards supporting cryptos and has also expressed increasingly optimistic views on the industry.
In July of this year, at the largest annual conference in the crypto industry, the 2024 Bitcoin Conference, Trump made a speech stating that if he could return to the White House, he would designate Bitcoin as a strategic reserve asset for the USA. "If Bitcoin is going to the moon, I want the USA to be the country leading the trend." Since then, almost every speech he has given has also discussed crypto policies.
At the end of August, he released a video on X to his 90 million followers, stating that he plans to make the USA the "crypto capital of the world".
As for why there is such a large upward potential for bitcoin if Trump wins the election in November, Chhugani believes that the positive regulatory environment for cryptocurrencies has not been fully absorbed by the market.
He explained, "Due to the significant regulatory challenges, decentralized finance has not seen institutions and banks participate in the construction of blockchain-based financial products."
"A positive regulatory environment will eliminate policy risks associated with the participation of financial institutions and banks, thereby removing barriers to the flow of institutional funds between digital assets and traditional assets." he added.
Editor/new