Trump Win Could Trigger Bitcoin Price Bottom, Says Bernstein Report

A recent report from Bernstein Research suggests that the outcome of the upcoming U.S. presidential election could play a pivotal role in the future of Bitcoin. The report indicates that a victory for Donald Trump might catalyse a bottom in Bitcoin prices, potentially leading to a surge in the cryptocurrency's value.

Market Uncertainty

Currently, Bitcoin prices are fluctuating within a narrow range, a situation Bernstein attributes to the ongoing uncertainty surrounding the election. According to the report, the crypto market views a Republican win, particularly Trump’s, as a positive development for crypto policies.

Crypto Prediction Market Trends

On Polymarket, a leading crypto prediction platform, the race between Trump and expected Democratic challenger Kamala Harris remains tight. While Trump’s shares have recently bounced back, Harris holds a slight lead with a 51% chance of winning.

Capital-Raising in the Mining Sector

The report also highlights significant capital-raising efforts by major U.S.-listed Bitcoin mining companies. Marathon Digital Holdings, for example, raised $300 million in convertible notes to purchase Bitcoin, while Riot Platforms announced a $750 million equity offering. Core Scientific secured $400 million for debt retirement and AI data center acquisitions.

Emerging Strategies in Mining

A new trend, dubbed the "mullet strategy," is gaining traction among miners, where companies are branching into AI data centers while continuing their Bitcoin mining operations. This approach appeals to institutional investors who are more familiar with data center economics than with crypto mining.

Conclusion

While the crypto market awaits the election results, U.S.-listed Bitcoin miners continue to leverage their position in the world's deepest capital markets. However, the full impact on Bitcoin prices will depend on the election outcome and subsequent policy shifts.