- VanEck analysts believe that BTC could benefit more from a ‘hostile’ Harris administration.
- Polymarket showed Harris maintaining a three-point lead over Trump.
According to VanEck analysts, regardless of who wins the 2024 US elections, there will Bitcoin [BTC] will sail through it unscathed.
Analyst Mathew Sigel, however declared that BTC could benefit more from a Kamala Harris administration than under Trump.
“I think it’s possible that an unfriendly Democrat in the White House could inadvertently help BTC.”
VanEck analysts further announced the above outlook in last September’s BTC judgement.
“We would argue that a Kamala Harris presidency might even be better for Bitcoin than a second Trump term because, in our view, it would accelerate many of the structural problems that are driving Bitcoin adoption in the first place.”
Biden-Harris admin vs. BTC
Trump has been a strong supporter of BTC and his potential win will be seen as a bullish signal for easing regulations on the sector.
However, the analysts emphasized that Harris’s hostile government could strengthen BTC’s market dominance.
“Should that happen, the unique regulatory clarity will likely make Bitcoin even more competitive than other digital assets.”
The structural issues raised were related to rising US debt and budget deficits. The analysts noted that these problems will persist regardless of whether Trump or Harris wins the election.
Analysts Mathew Sigel and Nathan Frankovitz emphasized that this would weaken the US dollar, a ripe environment that has historically boosted BTC.
Nevertheless, market experts have warned that the infamous Operation ChokePoint 2.0 (OCP) is likely to be extended, with a Harris administration becoming more likely. OCP refers to the perceived restriction by US agencies on crypto companies from accessing the US banking system.
That said, a recent one update indicated that Silvergate, a crypto-focused bank, was solvent and able to meet its financial obligations but was reportedly forced to close under pressure from the Fed.
Source:
In August, the Fed notified another crypto-friendly bank, Customers Bank. Tyler Winklevoss, co-founder of Gemini, said the continued restriction would kill the crypto industry in the US.
Amid the mass de-banking among US crypto companies, VanEck analysts believe BTC’s regulatory clarity would help this. At the time of writing, Harris (51%) had a 3-point lead over Trump (48%) in the odds of winning the US election on the prediction site Polymarkt.
Meanwhile, BTC was valued at $63.1K at the time of writing and was on the verge of reclaiming the 200-day moving average (MA).
According to Coinbase analysts, the asset could attract more interest and traction from traders if it were to rise above the 200-day MA to strengthen a long-term bullish trend.
Source: BTC/USD, TradingView