Donald Trump Could Be Bitcoin’s Biggest Price Driver: Experts – TradingView News

Former President Donald Trump recently expressed strong support for Bitcoin and cryptocurrencies, notably diverging from his previously skeptical stance. This significant pivot, featured prominently in a recent video circulating among crypto enthusiasts and investors, has spurred speculation about the potential implications for Bitcoin and other digital currencies as the US elections approach in November.

How Trump could increase the price of Bitcoin

The comments made by Trump were discussed by analyst MacroScope on X. The analyst emphasized the importance of Trump’s statements: “By now, you’ve probably seen the video of Trump’s strident and arguably impressive pro-crypto comments.” MacroScope suggested that the implications of Trump’s new support could be profound, especially since a positive change in Washington, DC, policy toward cryptocurrencies has not been factored into current market prices.

MacroScope further reported: “In terms of potential impact on BTC prices, this should be watched very closely in the coming months.” The statement reflects a broader sentiment within the financial community that political endorsement can lead to market moves, especially when it suggests a change in regulatory approaches. The analyst drew parallels with the market’s underestimation of the impact of spot Bitcoin ETFs, indicating that a similar scenario could play out if Trump’s supportive comments translate into formal policy changes.

By now, you’ve probably seen the video of Trump’s strident and arguably impressive pro-crypto comments.

In terms of the potential impact on BTC prices, this should be watched very closely in the coming months. Needless to say, constructive political change in DC is not… https://t.co/KL0RNqawZg

May 9, 2024

Meanwhile, the credibility of Trump’s promises is a critical factor in evaluating the potential results of his pro-crypto statements. Although Trump is known for making ambitious promises to drum up support, MacroScope noted, “Yes, he will promise anything in front of a crowd to receive applause. But from various insider accounts, we also know that once he makes a high-level promise, he is acutely aware of the attention and approval he has received, and feels obligated to at least show the appearance of following through in terms of politics.”

This pattern of behavior suggests that Trump may continue to advocate pro-Bitcoin and crypto policies, at least on the surface, to maintain the favor he has gained with these statements. Furthermore, the political discourse surrounding cryptocurrencies is intertwined with speculation about the future leadership of the Federal Reserve. Former Fed governor Kevin Warsh, who is seen as a potential successor to Jerome Powell, has already expressed a nuanced understanding of Bitcoin’s value, especially in light of the weakening dollar.

In a statement made in 2021, Warsh noted: “It makes some sense to me,” referring to Bitcoin’s resilience in times of dollar devaluation. Warsh’s potential appointment could herald a more favorable regulatory environment for cryptocurrencies, aligning with Trump’s pro-cryptocurrency rhetoric. Analyzing Trump’s BTC Position: Insights from Julian Fahrer

Julian Fahrer, co-founder and CEO of Apollo, also recently offered an in-depth look at Donald Trump’s relationship with Bitcoin and crypto, from his presidency to his post-presidential activities. Fahrer’s perspective is crucial in dissecting Trump’s public statements against his administration’s actions.

During his presidency, Trump was openly critical of Bitcoin and cryptocurrencies, particularly after Meta’s attempt to launch the Libra stablecoin in 2019. Trump famously stated: “I’m not a fan of Bitcoin and other cryptocurrencies, which are not money and whose value is highly volatile. and based on thin air. Unregulated crypto assets can facilitate illegal behavior, including drug trading and other illegal activities.”

Despite these comments, Trump’s appointments suggest a more complex stance on cryptography. He appointed Hester ‘Crypto Mom’ Pierce to the SEC, known for her dissenting views in favor of Bitcoin and cryptography, and Steve Mnuchin as Treasury Secretary, who viewed cryptocurrencies as a threat to national security.

This dichotomy shows that the Trump administration has maintained a somewhat ambiguous stance towards crypto regulation, characterized by stricter KYC/AML rules by the Financial Action Task Force, along with the approval of crypto futures products by the Futures Trading Commission of Commodities.

After his presidency, Trump’s attitude appears to have changed significantly. His venture into Trump Digital Trading Cards and disclosure of holding $2.8 million worth of ETH in 2023 signals a new adoption of digital assets. This change can be attributed to strategic changes or financial incentives.

Furthermore, Trump’s recent interactions, including the inclusion of pro-Bitcoin Vivek Ramaswamy in his circle and positive comments on Fox about Bitcoin, indicate a potential pivot toward a more cryptocurrency-friendly stance if he were to win a second term. Fahrer aptly notes: “The bigger the enemy of Bitcoin and crypto the Democrats seem to be, the more Trump seems to be embracing them.”

This analysis highlights the fluidity between Trump’s rhetoric and his political actions regarding Bitcoin and cryptocurrencies, with Fahrer concluding that Trump’s evolving stance could lead to an “all in Degen Don” as the November elections they approach.

Notably, investment giant VanEck predicted earlier in the year that a Trump victory would drive the price of Bitcoin to a new all-time high on November 9 and potentially reach $100,000 in December.

At press time, BTC traded at $63,024.

NewsBTC

Fuente