According to Cailian News on November 26, Mark Palmer, a senior analyst at the benchmark company, a New York investment bank, predicted that Bitcoin will soar to $225,000 by the end of 2026, an increase of about 133.5% from the current level [__LINK_ICON]. He believes that there are three main factors driving it:

Institutional investor drive

When investors and pension funds began to buy gold exchange-traded funds in the early 21st century, gold prices began to soar and gradually became a mainstream investment product. Today, many pension funds are underfunded, and Bitcoin, as a "non-correlated asset", has great potential for growth. If institutions continue to include Bitcoin in their portfolios, its demand will increase significantly, thereby driving up prices [__LINK_ICON].

Bitcoin halving mechanism

The Bitcoin protocol has a mechanism for halving every four years to control the issuance speed and total amount and ensure scarcity. After the past three halving events, Bitcoin has seen "substantial increases" in the next 14-16 months, and changes in supply and demand have significantly affected its price [__LINK_ICON].

Cryptocurrency-friendly environment

Investors hope that Trump will help push up cryptocurrency prices during his second term. He may relax regulations, establish a national Bitcoin reserve, and consider letting Chris Giacarlo serve as the "crypto czar", which will help the United States become a leader in the crypto field and have a positive impact on Bitcoin prices [__LINK_ICON].

In fact, not only Mark Palmer, but also many Wall Street bigwigs have become more optimistic about Bitcoin since Trump won the election. For example, Tim Draper, a famous American venture capitalist, predicts that the price of Bitcoin will reach about $120,000 by the end of this year and $250,000 in 2025; investment bank Bernstein predicts that by the end of 2025, the price of Bitcoin may be as high as $200,000 [__LINK_ICON].