Bitcoin Defies Political Uncertainty: A Look at the Election and Its Possible Impacts

The cryptocurrency Bitcoin experienced a remarkable surge on Tuesday, breaking through the $73,000 mark—a new milestone in the history of digital currency. This impressive growth comes just days before the U.S. presidential election, which is creating global excitement. Investors are eagerly watching the outcome: Will former President Donald Trump or the current Vice President Kamala Harris make it to the White House? Such political upheavals could significantly influence the fate of cryptocurrency markets. However, Matt Hougan, the Chief Investment Officer of Bitwise Asset Management, reassures investors. He emphasizes that the most important thing for Bitcoin is that the election takes place at all. "Regardless of whether Trump or Harris wins, the regulatory environment for Bitcoin is improving," says Hougan, identifying this as the central reason for the current price increase. He offers a positive outlook on the long-term development of the cryptocurrency and even predicts surpassing the $100,000 mark. Nevertheless, Hougan also warns that the legal framework under the future government could primarily affect the so-called altcoins more strongly. Geoff Kendrick, Head of Crypto Research at Standard Chartered, even anticipates a massive increase if Trump wins. He forecasts a Bitcoin price of up to $125,000 by the end of 2024. Another crucial factor for Bitcoin's growth could be the increasing institutional adoption. Hougan sees great potential for further price increases here, especially if major financial institutions become more involved—an event that could bring even more momentum to the market by 2025.