According to BlockBeats, Standard Chartered Bank said in a research report that the risk of U.S. fiscal dominance brought about by the Federal Reserve's monetization of government debt is rising, and investors may seek alternative assets including cryptocurrencies, which is good for cryptocurrencies.
The report also pointed out that if Trump wins the election, his second-term government may promote a more supportive regulatory environment, which is positive for digital assets. Trump's return to the White House may accelerate the withdrawal of foreign official buyers from the U.S. Treasury market due to fiscal concerns.
During Trump's first term, foreign investors sold an average of $207 billion in U.S. Treasuries each year, while during Biden's administration, the figure was only $55 billion. Standard Chartered Bank reiterated its target price of $150,000 for Bitcoin at the end of the year and $200,000 at the end of 2025. The report said that Bitcoin prices are positively correlated with the steepening of the U.S. Treasury yield curve, rising inflation expectations and increased term premiums.
