Bitcoin price expectations in light of the Trump administration
There are now only a few days left until Donald Trump takes office as the 47th President of the United States of America, but what is the current Bitcoin price forecast?
In this article we try to collect our thoughts and provide possible forecasts regarding the price of cryptocurrency in the first year of the Trump administration.
Let’s see all the details below.
Donald Trump Ready to Enter the White House: What Does It Mean for Bitcoin Price Forecast?
On January 20, Donald Trump will officially become the new president President of the United States of AmericaWith Joe Biden handing over the leadership baton to his Republican rival.
According to financial market experts, this event could lead to profound changes in the current outlook on speculative exchanges, especially with regard to the stock market. stock Sector and Bitcoin.
Many already know that Trump, based on the previous term from 2017-2021, measures the success of his presidency by the results of bull and bear markets.
The same plans for reduction Tax rate For US companies from 21% to 15%, resulting in a significant advantage over the profits of listed companies.
This expansionary policy line, mixed with potential new monetary stimulus to be launched by the European Central Bank Federal Reserve Bank In 2025, It is likely to stimulate US stock prices.
In contrast, Bitcoin, the speculative asset par excellence, is likely to see new investment flows in a context in which stocks perform well. In fact, investors are more inclined to shift their capital from bonds/cash to Bitcoin when the stock market is moving in an uptrend.
Although there is no clear (especially consistent) relationship between stocks and Bitcoin, it is clear that the moments when the price of the cryptocurrency exploded coincided with its highest levels. Standard & Poor’s 500.
It is also worth highlighting how, in this specific historical context, A little help from Trump for US markets would particularly benefit BitcoinSince we are approaching the maximum levels of beta correlation with the USA indices.
Some believe that the date of January 20 may lead to “Sell news“On Bitcoin prices, taking into account Trump trade From November with the elections.
It must be said that at this moment for the orange currency, the short-term situation seems to be in the hands of the bears, with prices just breaking the daily EMA 50.
In any case, regardless of the initial speculation about the event, we expect that the new Trump presidency will be able to support Bitcoin for the rest of 2025.
Segretario del Tesoro candidate Scott Picente wants to bet on Bitcoin
Another factor feeds rising Expectations about Donald Trump’s impact on Bitcoin prices are the support the Republican showed towards the cryptocurrency during his 2024 election campaign.
The billionaire has repeatedly repeated his idea of making Bitcoin an asset of the US Treasurywhile simultaneously enhancing mainstream adoption of the supplier.
This choice will certainly cause the price of the coin to rise, as it will have to be purchased immediately on the market.
Moreover, this situation would encourage others as well Nations Outside the USA to repeat the same strategy, and gain a competitive advantage on the price of Bitcoin.
Well, today this possibility is witnessing new positive developments, especially after statements Scott Besanta nominee for Treasury Secretary under Trump.
This is according to a report by the New York Times. Besant had implied that, if elected, she would follow Trump’s instructions to add Bitcoin to US coffers..
He has already stated that he intends to filtering Many assets, including investments in exchange-traded funds (European Training Foundation) based on Bitcoin, to avoid conflicts of interest.
Besant, who is a hedge fund manager, must sell his Bitcoin holdings for around $250-500,000 to be able to adopt this new financial line.
In a letter to the ethics office, the billionaire promised that he would avoid:
“AAny real or apparent conflict of interest if I am confirmed to the position of Secretary of the Treasury.”
This makes us believe that if elected, he would immediately make Bitcoin a US Treasury asset, positively affecting its price.
Candidate’s pro-crypto line could help stem growth Federal debtThis is within the framework of extending tax cuts and eliminating Social Security taxes.
Cryptocurrency Price Forecast for 2025: Bulls target $140,000
If all goes according to plan, a very bullish price outlook for Bitcoin is expected, which is what it assumes A new bullish rally from now until the end of the year.
According to what was stated on the technical analyst’s websiteAli_charts“, If Bitcoin breaks up from the current bullish flag pattern, it could move towards that New heights.
In particular, the expert aims to The price is $140,000 per 1 BTCAn increase of about 54% from current levels.
This scenario would go in the opposite direction to the bears’ idea, according to which Bitcoin would be in a head and shoulders pattern, with a bearish outlook on the horizon.
It is clear that before moving to a quote of $140,000, which would imply a capitalization of $2.77 trillion, there must be intermediate steps.
First of all, the cryptocurrency must return to $106,000, to regain that bullish outlook that characterized November 2024.
After that, $120,000 will be the new ATH, and finally, as the last stop before the cycle highs, $128,000.
“Beyond expectations”Ali_charts“, Almost all experts in speculative markets agree that 2025 will bring a lot of excitement Owners Of Bitcoin.
In the short term, prices could give way to further downward disturbancessuch as keeping less flexible people out of the market and creating a horror scenario.
Once balance is restored following Donald Trump’s inauguration, we are likely to see rapid change.Buy the dipAnd the subsequent bull.
Unless we encounter serious bumps in the road such as the Fed’s reluctance to do quantitative easing, or weakness in the US housing and labor markets, the path for Bitcoin appears to be already charted.
Fasten your seat belt and enjoy the journey into space.
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