Trump Election Win May be Bullish For Cryptocurrency Markets, Bernstein Says

Bernstein noted that crypto market sentiment suggests that a Trump win would be a more optimistic outcome.

The brokerage firm notes that Bitcoin is weakening as rates and polls on Polymarket turn in Harris’ favor.

Trump supporters are calling the change in these rates the first honeymoon phase, the brokerage firm said.

Market sentiment is bullish for cryptocurrency markets if Donald Trump wins the November US elections, while bearish if Kamala Harris wins, Wall Street brokerage firm Bernstein said in a research report on Monday.

Bitcoin weakened after Polymarket rates and polls shifted in Harris’ favor, the brokerage said, adding that it expects the world’s largest cryptocurrency to “remain rangebound until a clearer election signal emerges.”

Read more: Kamala Harris Is Way Ahead of Trump at Polymarket

Polymarket is a prediction market that allows people to bet on the outcomes of future events.

Republican supporters called this the “first honeymoon phase” and argued that Polymarket rates were open to manipulation, the report said.

Bernstein notes that Trump’s camp has been quite outspoken on cryptocurrency policy and has engaged with companies in the sector, bitcoin {{BTC}} miners and the broader community.

“The Trump-led Republican wing has made a strong appeal to crypto voters by promising favorable policies for bitcoin and crypto innovation, even hinting at a potential national bitcoin reserve,” wrote analysts led by Gautam Chhugani.

Speaking at the Bitcoin Conference in Nashville last month, former President Trump pledged to maintain a strategic national Bitcoin reserve and said that if he were re-elected, he would never sell any Bitcoin seized by the government.

Read more: Trump Backs US Bitcoin Reserve, Says Democrat Win Would Be Disastrous for Crypto: ‘You’re All Gone’