Standard Chartered Forecasts $10 Trillion Cryptocurrency Market Cap After Potential Return of Trump
After initially rejecting Bitcoin [BTC], the former President of the United States underwent a remarkable transformation during the 2024 election cycle, emerging as a vocal advocate for cryptocurrencies and earning the moniker of the “crypto president.”
During his campaign, he pledged to establish a “strategic national reserve of Bitcoin” and criticized the tough crypto policies of the Biden administration. He even launched his own cryptocurrency initiative, marking a significant shift in his stance on digital assets.
Recently, Trump emphasized the importance of embracing crypto and Bitcoin technology by stating,
“Failure to adopt crypto and Bitcoin technology will result in China or other nations taking the lead, and we cannot allow China to dominate.”
Bitcoin’s Market Capitalization Post-Election
Following the 2024 election, Bitcoin surpassed the $90,000 milestone, exceeding its previous all-time peak of $73,000 reached in March. Consequently, the collective value of all cryptocurrencies surged by more than $650 billion, hitting $3.2 trillion.
This upsurge can mainly be attributed to the optimism surrounding the new government. Enthusiasts of cryptocurrencies now anticipate a more positive stance towards digital assets compared to the previous administration under Biden.
How a Republican Sweeping Victory Could Impact the Crypto Market Cap
In light of mounting speculation, financial institution Standard Chartered has predicted that the combined market capitalization of cryptocurrencies could reach $10 trillion by the conclusion of 2026 – contingent upon a potential Republican sweeping victory that might usher in pro-crypto policies.
According to a recent analysis, the bank envisions that favorable governmental measures could propel a fourfold surge in the market’s valuation – surpassing $10 trillion in the forthcoming years.
Expressing his views, Geoff Kendrick, the Head of Digital Assets Research at Standard Chartered, remarked,
“As the market grows, all digital assets will follow suit; those with greater exposure to specific use cases are likely to reap the most benefits.”
The report also hinted that while the creation of a Bitcoin reserve by the new administration seems improbable, its realization could bear significant consequences, potentially leading to a “low-probability but high-impact event.”
Therefore, Kendrick aptly described the current scenario by stating,
“With a projected Republican victory in the U.S. elections, we are entering the ‘crypto summer’ phase.”
In conclusion, if Bitcoin attains this level, its total worth could even surpass $4.3 trillion – surpassing the entire monetary supply of the British pound.