Amid rising U.S. fiscal concerns, cryptocurrencies could become an increasingly attractive investment, suggests a recent Standard Chartered report. The bank anticipates that U.S. fiscal dominance and the monetization of government debt might drive investors towards digital assets like Bitcoin. Analyst Geoff Kendrick highlighted the correlation between Bitcoin’s price and the steepening of the U.S. Treasury yield curve, underscoring the potential for cryptocurrencies to serve as a hedge against de-dollarization and weakening confidence in U.S. Treasury securities.

In the event of Donald Trump winning another term, the scenario looks even more favorable for digital assets. The report predicts a supportive regulatory environment under a second Trump administration, which could facilitate the approval of U.S. spot ETFs and promote looser regulations, enhancing the appeal of Bitcoin and other cryptocurrencies.

Reaffirming its bullish outlook, Standard Chartered has set ambitious Bitcoin price targets of $150,000 by the end of this year and $200,000 by the close of 2025. This projection is bolstered by historical data showing significant shifts in U.S. government debt transactions during Trump’s previous term compared to the current administration, emphasizing the potential for further cryptocurrency market growth.