Famous CEO Says “We Are On The Verge Of A 2021-Like Mega Bull In Bitcoin”, Explains Reason For Latest Rally

Bitcoin topped $67,000 for the first time in more than a month, marking the start of a second Trump presidency cryptocurrencies This has revived speculation that BTC could soon hit record highs.

Bitcoin’s nearly 6% jump to $67,434 on Friday helped smaller tokens like Solana, Dogecoin and Avalanche rise more than 3%. Bitcoin had reached an all-time high of nearly $74,000 in March on optimism about demand for U.S. ETFs, which are the first to be allowed to hold tokens directly.

The increasing likelihood of Republican presidential candidate Donald Trump is pushing Bitcoin and the rest of the cryptocurrency market higher, according to Stephane Ouellette, CEO of FRNT Financial, because a second Trump administration, if re-elected, would create a much more favorable regulatory environment for the crypto industry.

“We are on the verge of another bull market cycle similar to the one in 2021,” Ouellette said. Bitcoin reached its previous all-time high in late 2021.

The crypto is rallying even as stocks fall, breaking the sector’s recent correlation with other so-called risk assets. Most of the S&P 500 fell on Friday, sending the indicator down for its worst week since April.

In the days following the failed assassination attempt on Republican candidate Donald Trump, the probability of him becoming president has risen to around 63%, according to PredictIt. In about the same time period, the price of Bitcoin has also increased by around 15%.

The selection of J.D. Vance as the Republican vice presidential nominee is also a boost for crypto, according to Ouellette. Vance’s ties to Silicon Valley and pro-crypto views could positively impact policy if Republicans retake the White House from President Joe Biden in November.

“While there is a premium for options with election exposure, that premium is relatively low as Trump is currently the overwhelming favorite to win,” said Ravi Doshi, head of markets at FalconX. “Of course, that could change dramatically if Biden drops out of the race.”

*This is not investment advice.