Listen and subscribe to Opening Bid on Apple Podcasts, Spotify, or wherever you find your favorite podcasts.
The list of those on Wall Street calling for a big 24 months in crypto is growing.
“We assume in our analysis [that] the price of bitcoin will reach $225,000 by the end of 2026,” Benchmark Company analyst Mark Palmer told Yahoo Finance executive editor Brian Sozzi during the Opening Bid podcast (see video above or listen below).
Palmer is particularly bullish on Michael Saylor-led MicroStrategy (MSTR) and Mike Novogratz-led Galaxy Digital (GLXY.TO) as players in his bitcoin prediction.
Palmer has been covering the crypto and fintech space for more than a decade and has seen the industry’s many ups and downs. But he said this time is different, pointing to bad actors such as FTX’s Sam Bankman-Fried being flushed from the system and the potential for growth under incoming President Donald Trump.
“We are hearing about various appointments in the Cabinet who would be supportive of crypto,” Palmer said. “It’s really a sea change relative to what had been before when, frankly, the SEC and other agencies were hostile to the crypto space.”
The new administration has mentioned appointing a crypto czar to oversee crypto-related issues and initiatives.
“It’s not yet clear exactly what that role could entail,” Palmer said. “But just the fact that there would even be someone who would be focused on making the United States a leader in crypto, bitcoin mining, and other areas President Trump has talked about is a sea change.”
The warming sentiment toward crypto also includes recent investments from entities that typically favor the more traditional stocks and bonds options. In May, Wisconsin’s pension fund added bitcoin (BTC-USD) to its holdings by purchasing more than $160 million of shares in two new funds approved by regulators earlier this year.
“The fact that we are seeing increased institutional adoption of bitcoin is key here,” Palmer said.
It is understandable that cryptocurrencies have piqued the interest of an increasing number of investors.
Bitcoin has continued to outperform since the Nov. 5 election, climbing to record highs near $100,000.
Palmer said investors he talks to are also preparing for halving, a process that occurs every four years to rebalance the cryptocurrency. According to blockchain protocol, halving cuts the rewards paid out to bitcoin miners in half.
“This is part of the design of bitcoin, which makes it counter inflation,” Palmer said. “Those who are big advocates of bitcoin point to it as the antithesis of what we see with the Federal Reserve and other government central banks printing money as a means of addressing their needs.”
Story Continues
