Bitcoin Miners Eye Favorable Outlook Amid Trump Election Odds Surge

Bernstein analysts suggested that a promising scenario for Bitcoin miners is unfolding amidst what they term the "Trump factor," sparked by a failed assassination attempt on the former President at a rally in Pennsylvania.

In a note to clients, analysts Gautam Chhugani and Mahika Sapra outlined factors favoring miners, including a potential shift towards pro-Bitcoin policies under a Trump administration, the U.S. emerging as a key hub for mining, advancements in mining technology, and collaborations with AI data centers.

Following the incident, Bitcoin initially dipped but swiftly recovered as Trump’s resilience buoyed sentiment, leading to a price jump from $59,250 to $63,000, dubbed the “Trump pump.”

With Polymarket’s election odds favoring Trump at 71%, up from 60% pre-incident, the market perceives a Trump victory as more beneficial for crypto due to his favorable stance compared to Biden’s regulatory approach.

The analysts noted that Bitcoin’s price is closely tied to election outcomes, expecting positive openings for public miners’ stocks on Monday.

They highlighted further industry tailwinds such as expanded access to power, AI integration opportunities, and technological advancements in U.S. mining, citing partnerships like Block’s supply of 3nm mining chips to Core Scientific. Bernstein also reaffirmed bullish long-term Bitcoin price targets: $200,000 by 2025, $500,000 by 2029, and $1 million by 2033.