(Bloomberg) — Hedge fund manager Anthony Scaramucci projected record highs for Bitcoin fueled by a combination of interest-rate cuts and US crypto regulatory clarity in the wake of November’s presidential election.
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“We are going to get pro-cryptocurrency, Bitcoin, and stablecoin legislation in the first part of the next congressional term in the US,” the founder of SkyBridge Capital LLC said in an interview Wednesday. “At the same time, you’re intersecting with rate cuts from the Federal Reserve.”
Scaramucci said he prefers bipartisan legislation backed by Republicans and Democrats. Back in 2017, he was former President Donald Trump’s director of communications for 11 days before being fired and becoming a vocal critic.
Republican nominee Trump has pivoted to a pro-crypto stance in search of donations and votes amid a tight race for the White House with Vice President Kamala Harris, whose stance on digital assets is less clear.
Scaramucci expressed optimism about the prospects for crypto rules under a Harris administration, citing discussions with the Democratic team behind her electoral push. Last month, an adviser to her campaign signaled Harris will back measures to help grow the industry while maintaining appropriate safeguards.
SkyBridge was previously known for investing in other hedge fund managers. While it still has some of these investments, it began pivoting to digital assets beginning in 2020.
The Fed will likely reduce borrowing costs by a half point on Wednesday, part of at least 150 basis points of cuts over the next 18 months, Scaramucci said.
“That’s going to be really good for asset prices in the US and globally,” he said, adding that Bitcoin could hit $100,000 by the end of the year. He was speaking on the sidelines of a conference in Singapore.
The largest digital asset reached an all-time peak of $73,798 in March, lifted by demand for dedicated US exchange-traded funds. The rally subsequently moderated as inflows into the ETFs cooled. The token has climbed about 5% over the past two days ahead of the Fed policy decision, and was trading at $60,255 as of 9:18 a.m. in London.
(Updates prices in the final paragraph.)
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