The last two months of 2024 are approaching, and the BTC price is fluctuating below $70,000. Although it still needs to overcome many challenges to break through this psychological resistance level, BTC may break through the $70,000 mark by the end of the year, and the development of the US political situation will also further affect market sentiment.
User FOMO sentiment is activated, and the inflow of BTC spot ETFs is increasing
Under the comprehensive impact of BlackRock's positive financial report and macroeconomic factors, the market inflow of BTC spot ETFs has been continuously increasing recently. According to data disclosed by Cointelegraph on the X platform, on October 17, BlackRock's BTC exchange-traded fund IBIT purchased $311.7 million worth of BTC, and the total inflow of IBIT this week has approached $1 billion.
The probability of Trump being elected as the US president in 2024 has increased, and his historical governing philosophy is beneficial to crypto assets
Polymarket data shows that the probability of Trump being elected as the US president in 2024 has risen to 61.7%, and the probability of Vice President Harris being elected is 38.2%. If Trump is re-elected as the US president in 2025, many industries in the US economy will be significantly impacted, including BTC and other crypto assets. Trump's previous term was characterized by business-friendly policies, a skeptical attitude towards the Federal Reserve, and the promotion of populist rhetoric, all of which provided a favorable environment for the growth of BTC. Although Trump has previously criticized crypto assets, many of the economic and policy trends related to his governance plan will be beneficial to BTC.
Trump's previous term was known for promoting economic growth by relaxing government regulations on various industries. Trump supported the repeal of the financial regulations introduced after the 2008 financial crisis. This overall stance is beneficial to BTC and the entire crypto asset market, which view regulation as a hindrance to innovation and growth.
If Trump continues his tax policy, BTC investors may profit
Trump's tax policy design is tilted towards business and investment, with significant tax cuts for corporations and the wealthy. According to Trump's 2017 Tax Cuts and Jobs Act, the corporate tax rate was reduced from 35% to 21%, and investors' capital gains tax was also reduced. If he adopts similar measures in his second term's tax policy, BTC investors will benefit.
Last week, we noticed that investors had not yet positioned themselves for a Trump victory, and subsequently, Bitcoin experienced an 8% significant increase. As the probability of Trump's victory rapidly rises, we are increasingly likely to see a stronger comeback of BTC.
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Disclaimer: The market has risks, and investment requires caution. This article does not constitute investment advice. Digital asset trading may have great risks and instability. Investment decisions should be made after carefully considering personal circumstances and consulting financial professionals. Matrixport is not responsible for any investment decisions based on the information provided in this content.
