ChainCatcher news, according to The Block, according to the views of JPMorgan analysts, as Trump won the US presidential election, both gold and Bitcoin are expected to perform well, and they particularly emphasized the concept of "depreciation trading". "Depreciation trading" refers to an investment strategy that benefits from currency depreciation or weakening, which is usually caused by inflation or expansionary fiscal policy. In this transaction, investors buy assets such as gold and Bitcoin, which are regarded as a means of storing value and can maintain their value even if the purchasing power of the currency decreases.
JPMorgan analysts pointed out that retail investors are also supporting gold and Bitcoin. Investment in gold and Bitcoin ETFs has increased since last summer, and this trend will continue until 2025. Trump's policies may also support these two assets. In addition, the analyst mentioned an aggressive Bitcoin acquisition plan announced by MicroStrategy through its "21/21 Plan", saying that Bitcoin is expected to get a further boost.
The plan involves raising $42 billion over the next three years, half of which ($21 billion) will come from equity and the other half ($21 billion) from fixed-income securities. Analysts say MicroStrategy will invest $10 billion in Bitcoin in 2025 alone, which is roughly equivalent to the total amount it has purchased since mid-2020.
