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The momentum is on the side of Bitcoin and crypto, and it will not be surprising if the price increase continues until the end of the year. One of the main drivers of Bitcoin’s current performance is the election of Republican Donald Trump.
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Trump’s announcement to talk about friendliness to crypto helped the price of the asset surpass $76k, surpassing this year’s record in March.
Now, many market analysts are staying in the bullish days after the US election. Thomas Lee, CNBC contributor and CIO of Fundstrat Capital, even pushed a bold claim, saying that Bitcoin could trade in six digits by the end of the year. Lee says the current market and political environment favors the coin higher and expects more upside for digital assets.
Trump’s election boosts the Crypto industry
This Friday, Fundstrat Capital CIO shared his thoughts on Trump’s election and the future of BTC on CNBC’s Squawk Box. In the same interview, Lee shared that Bitcoin and many altcoins will have a price rally in the short term.
“It will be very difficult to fix the deficit with just changes in taxes and spending,” he said @fundstratby Tom Lee. He says that bitcoin “may be a Treasury asset. When Bitcoin goes up in price, it really helps pay off debt, which is a deficit.” pic.twitter.com/tVrnE37dhS
— Squawk Box (@SquawkCNBC) November 8, 2024
Lee shared that before the election, global markets faced a lot of uncertainty. However, with Trump’s victory in the US election and his proposed policies on Bitcoin, the crypto industry can expect better days.
Lee added that changes in regulations and pro-crypto policies could enable short-term digital assets. He also credits Trump with his experience as a former president, which can help him better face future challenges. With
With Trump’s support and favorable market conditions, Lee shows his initial goal of $150k BTC, saying this is possible.
Bitcoin, Digital Assets Could Help Eliminate America’s Debt
One of Trump’s campaign promises is to cut the nation’s growing budget, now more than $35 trillion. Lee explained that it is difficult for Trump to cut taxes and spend to deal with the deficit.
Instead, Lee sees Bitcoin as the key to solving the country’s growing budget deficit. He sees potential in BTC as a future Treasury asset, noting its rising market value over the years.
Interestingly, Trump also tested this idea, saying that as president, he could fix the country’s budget problems by issuing a “Bitcoin check.”
Bitcoin Legislation Gains Momentum After US Election
Prior to Lee’s comments, there were discussions about Bitcoin’s growing role in the country’s financial system. Senator Cynthia Lummis has introduced a bill, the Bitcoin Act, to ensure that the crypto asset is legal as an economic asset.
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According to Senator Lummis, Trump’s win will favor the push to make Bitcoin a commodity to help fight economic uncertainty. One of the recommendations of the bill was to hold up to 1 million BTC over five years as a hedge against inflation.
Featured image from UpFlip, chart from TradingView