‘Trump trade’ means Bitcoin could rise for eight weeks, says JP Morgan

Bitcoin The rise in the stratosphere will continue for at least another eight weeks. So say analysts at America’s largest bank, JP Morgan.

The bank’s analysts said in a report on Thursday that the largest digital coin by market capitalization will continue to benefit from the Republican victory in the US presidential election.

Bitcoin price increased sharply on the eve of Donald Trump’s victory and has continued to grow since then. It is currently priced at $76,615, according to CoinGecko.

“We continue to believe that the Trump deal could have the same impact over the next eight weeks or so as it did in 2016,” the report said.

He added that despite Bitcoin’s rise following Trump’s victory and gold’s decline, “Trump’s policies will likely support both in 2025.”

JP Morgan Analysts said a report last week said both gold and bitcoin could benefit from “depreciation trading,” as traders try to hedge against weaker currencies and geopolitical headwinds.

They added that a Trump victory would further boost such trade due to rising geopolitical tensions and the president-elect’s fondness for tariffs. Trump has said he plans to use tariffs (taxes on imported goods) as a means of negotiating with trading partners, especially China.

Bitcoin has long been touted as a hedge against inflation and an asset to invest in during times of uncertainty, although it has recently been closely linked to Wall Street, and tech stocks in particular.

Donald Trump, who won both the popular vote and the Electoral College, said he would support the digital asset industry and raise tariffs.

Both policies could ultimately help Bitcoin, experts say.