UAE: Bitcoin Poised for $150,000 as Trump Returns to US Presidency, Experts Predict
Bitcoin could potentially hit the $150,000 mark by the end of 2025, driven by increased institutional adoption and support from US President-elect Donald Trump, according to forex industry experts. Trump’s pro-cryptocurrency stance, including the launch of his own digital currency and plans for an executive order prioritizing crypto, is expected to bolster the market.
Despite a recent dip after surpassing the $100,000 threshold, Bitcoin rebounded following these developments. Analysts emphasize the importance of Bitcoin maintaining levels above $100,000 for several months to establish a solid support base.
Konstantinos Chrysikos, Director of Customer Relations at Kudo Trade, highlighted the significant adoption of cryptocurrency as a hedge against inflation and other risks, similar to gold’s traditional role. He believes Bitcoin will stabilize between $110,000 and $120,000 before reaching $150,000 by year-end. “This prediction, although conservative, is feasible given the unpredictable nature of the cryptocurrency market,” he remarked.
Farah Mourad, Senior Market Analyst at Equiti Group, noted that Trump’s endorsement and international crypto transactions, particularly involving China, have positively impacted the market. She warned, however, that a correction could see Bitcoin testing old highs around $72,000-$75,000, though the momentum could benefit from a weaker dollar or other market dynamics. Mourad advises diversifying into other cryptocurrencies like Ethereum and Ripple to mitigate risks.
Wael Makarem, Senior Market Strategist at Exness, pointed to the decrease in active Bitcoin supply as a catalyst for price increases. He cautioned against over-optimism, citing potential market chaos due to Trump’s aggressive policies towards the EU and China. Makarem predicts Bitcoin could quickly hit $120,000 if the active supply continues to drop, noting a recent rapid rise from $88,000 to $97,000.
In parallel, the US dollar is anticipated to strengthen with Trump’s return to power on January 20, 2025. Makarem noted that Trump’s market volatility and tariff policies could support the dollar. However, if tariffs are not implemented, the dollar might weaken as investors turn to other currencies, recently evidenced by rebounds in the euro and other currencies against the greenback. Additionally, the Federal Reserve’s potential rate cuts could influence the dollar’s trajectory.
Chrysikos expects the dollar to gain 5 to 10 percent this year, contingent on Trump’s policies and the tariff situation. Farah Mourad also attributed the dollar’s recent strength to Trump’s presidency and the relative weakness of other currencies, particularly due to economic challenges in Europe and the UK.
As the global financial landscape evolves, experts recommend keeping a close watch on these developments and maintaining a diversified investment strategy to navigate potential market fluctuations.
