Digital commodity analyst Alexander Good analyzed cryptocurrency market's position within the broader financial and political landscape, arguing that its acceptance in mainstream circles has significantly increased.
What Happened: Good argued in a detailed post on X on Monday that cryptocurrency is "inherently a right-wing asset class" due to its focus on highlighting excessive debt issues, which has historically hindered its institutional adoption. However, he notes a significant shift in the treatment of crypto by established financial players.
"Bloomberg's conciliatory coverage of crypto and the ETFs feels important. And why Soros fund being interested in crypto is similarly important," Good writes, suggesting that these developments indicate a tacit approval from influential government insiders.
He speculates that this change might be due to geopolitical factors, such as Russia's move to diversify its reserves away from the U.S. dollar after the 2014 Crimea invasion. Good posits that crypto now has an "uneasy official blessing" from powerful financial and political entities.
Contrary to popular belief, Good downplays the potential election risks for cryptocurrency. He argues that with major players like “Bloomberg, Soros, Blackrock, and the left-wing consortium” at the forefront of institutional adoption, the political risk for Bitcoin BTC/USD and Ethereum ETH/USD may be overstated.
Good reminds crypto investors to “pay attention to the men proximate to the money printers” and suggests that current market conditions favor crypto investments.
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Why It Matters: Good cautions traders that the current environment could change, urging them to remain vigilant and "reassess" if significant policy shifts occur. Good says this could change if Vice President Kamala Harris opines on why a Bitcoin ETF got listed, but that is unlikely.
Republican nominee Donald Trump has been an ardent supporter of cryptocurrency highlighted by his most recent remarks to build a strategic national crypto stockpile. At the recent Bitcoin conference, Trump stated "Never sell your Bitcoin… The United States will be the crypto capital of the planet and the Bitcoin superpower of the world, and we’ll get it done."
On the other hand, Kamala Harris' stance on crypto remains ambiguous, as she has not made any public statement regarding the same. However, her camp has been contacting some crypto industry experts raising rumors that she also will take the pro-crypto stance, unlike President Joe Biden.
What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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