Bitcoin’s ( BTC ) performance is creating a “very bullish setup” for the digital asset as investors brace for the United States presidential election in November, Matthew Sigel, VanEck’s head of digital assets research, told CNBC on Oct. 28.

“Our bet is that this is a very bullish setup for Bitcoin going into the election,” Sigel said, adding:

“We saw the same pattern in 2020: Bitcoin was quiet before rallying with high volatility once a winner was announced.”

Bitcoin’s spot price broke $69,000 on Oct. 28, indicating a potential push toward all-time highs going into the elections.

“Bitcoin is […] up 100% over the past year,” Sigel said. “It seems this latest run from $57,000 to almost $70,000 is correlated with Trump’s improving odds on betting sites.”

Bitcoin in bullish setup ahead of election: VanEck image 0

Source: VanEck

Related: VanEck says Bitcoin could hit $2.9 million per coin by 2050

Former US President Donald Trump is favored to win the presidency by a significant margin on betting platforms such as Polymarket and Kalshi. The platforms peg Trump’s odds at 62% and 66%, respectively, according to both websites as of Oct. 28.

The November election pits Republican nominee Trump — who has said he wants to make America “the crypto capital of the world” — against Democrat Kamala Harris, who has been comparatively quiet on the industry.

“Trump is viewed as the more pro-crypto candidate, while Vice President Harris hasn’t shown much interest in it,” Sigel said.

Regardless of who wins, rising inflation will benefit BTC and other commodities because “all roads lead to inflation,” hedge fund manager Paul Tudor Jones told CNBC on Oct. 22.

“I probably have some basket of gold, Bitcoin, commodities and Nasdaq [technology stocks], and I would own zero fixed income,” Jones, who founded hedge fund Tudor Investment Corporation, said on CNBC’s Squawk Box.

Bitcoin in bullish setup ahead of election: VanEck image 1

Source: Federal Reserve

VanEck foresees BTC potentially hitting some $2.9 million per coin by 2050, resulting from massive demand for the decentralized currency as collateral for trade settlement and a reserve for central banks, according to a July 24 report. 

“We do have a long-term model that assumes Bitcoin could become a reserve asset by 2050, held by central banks and used in global trade,” Sigel said.

“If Bitcoin reached a modest 2% weight in global central bank reserves, our model projects a price of around $3 million per Bitcoin.”

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