Originally published on: October 28, 2024
Bitcoin’s impressive performance, reaching $72,363, is setting the stage for a potentially lucrative setup as the United States presidential election approaches in November, according to Matthew Sigel, VanEck’s head of digital assets research, in an interview with CNBC on October 28.
“Bitcoin’s current trajectory is extremely bullish as we head into the election,” Sigel expressed, noting that the digital asset recently surpassed $69,000, indicating a promising push towards all-time highs leading up to the elections.
Sigel highlighted Bitcoin’s remarkable growth of 100% over the past year, attributing the recent surge from $57,000 to nearly $70,000 to the improved odds of former President Donald Trump on betting sites.
“Based on the betting odds, Trump is heavily favored to win the presidency, with a 62% to 66% chance according to platforms like Polymarket and Kalshi,” Sigel remarked.
Trump, who has shown a pro-crypto stance and aspirations to make America the “crypto capital of the world,” faces off against Democrat Kamala Harris, who has remained relatively quiet on the topic.
“Trump is seen as the more crypto-friendly candidate compared to Vice President Harris,” Sigel explained.
Amidst the political uncertainty, hedge fund manager Paul Tudor Jones emphasized the potential benefits of Bitcoin and commodities in light of rising inflation during an interview with CNBC’s Squawk Box on October 22.
Jones suggested a diversified portfolio including assets like Bitcoin, gold, commodities, and technology stocks while avoiding fixed income investments.
Looking ahead, VanEck projects Bitcoin reaching $2.9 million per coin by 2050, driven by growing demand for the decentralized currency as collateral for trade settlements and central bank reserves.
“We anticipate Bitcoin becoming a key reserve asset by 2050, utilized by central banks and in global trade,” Sigel elaborated.
As the election approaches and market dynamics evolve, the future of Bitcoin remains a topic of keen interest, with potential for significant growth and strategic investment opportunities on the horizon. Subscribe to the Markets Outlook newsletter to stay informed on critical insights for refining your investment strategies and navigating market trends.
