3 Reasons Why Trump’s New Cabinet Will Supercharge the Fourth Crypto Boom

    Date:

    As the threat of a trade war sent markets into turmoil over the weekend, the price of Bitcoin (BTC/USD) dropped below $100,000 on Sunday, while other major cryptos cratered 20% or more in a matter of hours.

    That was the first time BTC dipped below $100K since mid-January. 

    But if you think the rally is over, think again.

    Donald Trump is the most pro-crypto president in U.S. history. And he is implementing three specific new White House crypto policies that could ignite the biggest crypto super-cycle ever (more on those later).

    This isn’t speculation:

    • President Trump is openly embracing the crypto industry — a stark contrast to Biden’s heavy-handed regulations – and has appointed crypto fans to crucial Cabinet positions.
    • Trump’s “crypto czar,” David Sacks, is saying a strategic U.S. Bitcoin reserve is a top priority.
    • And Trump himself just signed an executive order to establish a sovereign wealth fund. Bitcoin could be among its strategic assets.

    Recall the weeks following Trump’s victory. As all the Trump-linked catalysts became apparent, crypto markets surged. Bitcoin pushed past $100,000, for the first time ever, in early December. 

    And all this came in the middle of the “Fourth Crypto Super-Cycle” in which Bitcoin and altcoins were already in the mood to push higher. 

    With the rally heating up, my team researched the dynamics of this market. And, in a report we sent to all my crypto subscribers, I said we believed:

    • That Bitcoin would not run into much resistance until it hits $120,000.
    • That this super-cycle has about 12 months runway left, with room for Bitcoin to pop toward $200,000 by late 2025. 
    • And that altcoins (i.e., cryptos other than Bitcoin) will start to join the party soon and would soar in 2025, similar to how they soared in 2021.

    So… in my message today, I want to do a few things.

    I want to let you behind the curtain a bit to talk a bit about some of the technical catalysts we follow to make our projections.

    And I want to further review the Trump-caused fundamental catalysts I’m seeing lining up behind Bitcoin.

    Finally, I want to tell you a bit about the quant-based strategy I use to help my members to trade cryptos in times. 

    We’ve used the same system to make stock gains like 48.3% in a year on ADMA Therapeutics (ADMA)… 54.3% in eight months on Enel Chile (ENIC)…and 119.7% in one year on Bioventus Inc. (BVS).

    Let’s go…

    How Bitcoin Could Rally to $120,000… $200,000

    We’ll start with the first major conclusion: That Bitcoin will not run into much resistance until it hits $120,000.

    While BTC has been on a tear recently, we do not think this rally will run into much resistance until $120,000.

    That’s because, psychologically, Bitcoin taking out the $100,000 level will likely generate lots of buying momentum, which alone should carry BTC well above $100,000 in the short term.

    We also think that Trump’s pro-crypto appointments at the Treasury and the SEC will provide further fundamental ammunition for this rally to stay alive during the holiday season.

    When we did our analysis, the top of BTC’s 2023-’24 technical uptrend channel was at about $120,000, Considering BTC has cleared every other technical resistance level and is now just running in “open territory,” we don’t see why the rally would still stall out until the top of the channel.

    We therefore believe Bitcoin will fully cross above $100,000 soon… and stay hot, ultimately making its way to $120,000.

    While Bitcoin could hit some resistance around $120,000, that won’t stop the Fourth Crypto Super-Cycle. Rather, I believe it will last throughout 2025.

    In fact, this super-cycle should keep going so long as the economy remains healthy.

    Most economists and market observers – we don’t always agree with them, but they’re on point here – believe that U.S. economic growth will accelerate throughout 2025 thanks to Trump’s pro-growth policies, AI spending, and rate cuts. 

    Therefore, this crypto super-cycle will likely continue into and throughout 2025.

    Our technical analysis comes to the same conclusion.

    At the time of our analysis, the monthly relative strength index (RSI) on Bitcoin had just crossed above 70. In previous boom cycles, whenever the monthly RSI crossed above 70, that marked the beginning of the “bubble phase” of the boom cycle – where the rally picked up steam and BTC absolutely surged over the next few months.

    Therefore, if history repeats, we’re looking at a strong Bitcoin rally over the next year or so.

    Of course, we can’t say how high Bitcoin will go in the 2025 rally. No one really knows. 

    But our analysis suggests that Bitcoin could make a run for $200,000 or maybe even $250,000 this year.

    So, from our perspective, things look good for BTC going into 2025. 

    Altcoins have been lagging. But as stated above, our technical analysis of BTC suggests that we are just now entering the “bubble phase” of the current super-cycle. 

    The “bubble” phase is also when altcoins start to soar.

    For my full technical analysis, my Crypto Trader members can click here. For those who aren’t yet Crypto Trader subscribers, I’m holding a special broadcast tomorrow, at 10 a.m. Eastern, to talk all about it. You can sign up for that free event right here.

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