8 months ago
Standard Chartered believes Bitcoin (BTC) could rally supra $73,000 earlier the US election, driven by rising ETF inflows and a surge successful telephone options activity, according to a probe enactment shared with CryptoSlate.
StanChart’s planetary caput of integer assets, Geoffrey Kendrick, highlighted respective cardinal marketplace movements signaling bullish sentiment up of the November vote.
Bitcoin poised for a large rally
Kendrick highlighted that nett inflows to Bitcoin ETFs person climbed to astir 916,000 BTC arsenic of Oct. 14. This summation coincides with important involvement successful upside Bitcoin telephone options, peculiarly astatine the $80,000 onslaught level for the Dec. 27 expiry.
In the past week alone, an further 1,600 BTC was added to the unfastened involvement of the $80,000 telephone enactment connected Deribit. This surge successful options trading, combined with accordant ETF inflows, suggests that traders are positioning for a imaginable terms breakout arsenic economical and governmental conditions align up of the election.
Kendrick besides highlighted the imaginable interaction of the US statesmanlike predetermination connected Bitcoin’s outlook. He suggested that nether existent conditional probabilities, if erstwhile President Donald Trump wins the presidency, determination is simply a 70% accidental of a Republican sweep. Such an result could pb to much favorable regulations for integer assets, perchance boosting Bitcoin’s terms further.
He added that Bitcoin is apt to outperform Ethereum and different assets successful the lead-up to the election, driven by the spot successful ETF inflows and the increasing integration of integer assets into accepted finance.
MicroStrategy outlook
Kendrick highlighted MicroStrategy’s (MSTR) caller banal performance, noting a wide divergence from Bitcoin’s terms since mid-September. While Bitcoin has remained comparatively flat, MSTR’s NAV aggregate has surged, reflecting increasing capitalist assurance successful the company’s strategical relation successful the market.
Kendrick attributed this emergence successful MSTR’s aggregate to the imaginable interaction of the Bank Custody Exemption Rule SAB 121, which could let organization counterparties to lend retired MicroStrategy’s 250,000 BTC holdings.
This would make further output opportunities, enhancing the company’s fiscal position. Kendrick emphasized that this improvement makes MSTR’s banal progressively attractive, adjacent arsenic Bitcoin’s terms remains stable.
He added that the decoupling of MSTR’s banal from Bitcoin is seen arsenic a motion of rising organization interest successful the broader integer plus ecosystem arsenic it gains legitimacy. MicroStrategy’s strategical presumption arsenic a large holder of BTC is driving its banal higher, positioning the institution for further occurrence up of the US election.
The station StanChart predicts Bitcoin to scope $73K pre-election arsenic ETF inflows, MicroStrategy banal surge appeared archetypal connected CryptoSlate.
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