In a noteworthy discussion on CNBC’s “Squawk Box,” Matthew Sigel, the Head of Digital Assets Research at VanEck, provided valuable insights into the ongoing Bitcoin rally. Sigel expressed confidence that the current bullish trend is merely in its infancy, predicting that Bitcoin’s upward trajectory will persist for at least two more quarters. The Bitcoin price recently surged past $93,000, showcasing an impressive gain exceeding 150% this year.
VanEck’s Bitcoin Bull Run Prediction
Sigel’s optimism is rooted in historical performance patterns. He compared the current scenario to Bitcoin’s performance four years ago, where the digital asset doubled in value from the election period to the end of 2020. Despite experiencing 6-10 corrections in that timeframe, the signs now indicate a sustained rally. “We’re up 30% so far since the election, and numerous indicators we track remain favorable,” Sigel remarked.
Government Support: A New Era for Bitcoin
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A significant factor bolstering this positive outlook is a perceived shift in government attitudes toward Bitcoin. Sigel highlighted influential figures within the administration, including the Vice President and other key officials, who are increasingly supportive of Bitcoin. He described this as a “state change” in government support, emphasizing its potential to drive Bitcoin’s growth.
Impact of Regulatory Changes on the Crypto Industry
Sigel discussed the anticipated cessation of “regulation by enforcement” from agencies like the SEC, predicting a favorable impact on the industry. This regulatory shift could encourage crypto projects to hold conferences and establish offices in the United States, boosting domestic jobs and GDP. “We’re witnessing the economic impact of these changes already,” he noted.
Rising Institutional Interest in Bitcoin
Institutional interest in Bitcoin is on the rise, with increasing inquiries from investment advisors aiming to diversify their portfolios. Sigel reported a growing number of calls from advisors looking to allocate more funds to Bitcoin through spot Bitcoin ETFs. “These calls are accelerating, and we anticipate corresponding capital flows,” he explained, highlighting the potential for significant investment growth.
Market Sentiment and Future Price Targets
Regarding market sentiment, Sigel observed that mainstream interest has yet to reach previous peaks, indicating room for further expansion. “Google searches and app store rankings for Coinbase are not yet at their historical highs,” he pointed out. VanEck has set an ambitious price target of $180,000 for Bitcoin in the current bull run, which Sigel believes could materialize next year.
Regulatory and Technological Synergies
The conversation also delved into potential regulatory changes, including the possibility of SEC Chair Gary Gensler’s departure. Sigel suggested that reduced regulatory pressure could positively influence market dynamics. Moreover, he highlighted the broader implications of legitimizing Bitcoin as a reserve asset, potentially paving the way for its use as a global settlement currency.
Sigel further emphasized the synergy between Bitcoin and artificial intelligence, noting that combining Bitcoin mining with AI could optimize power usage and costs. “President Trump recognizes the synergies between Bitcoin and AI—they are interconnected,” he stated.
At the time of writing, Bitcoin is trading at $90,816, indicating a promising future for this digital asset as it navigates through an evolving regulatory and technological landscape.
