Bitcoin recently surpassed a historic high of over 100,000 Canadian dollars. Dean Skurka, President and CEO of digital financial services firm WonderFi, believes that interest rate cuts in Canada and the U.S., along with the 2024 U.S. Presidential election, could drive Bitcoin’s price even higher over the next 6-24 months.
In an interview with Cointelegraph, Skurka explained that the Bank of Canada’s recent 50 basis point rate cut, along with the U.S. Federal Reserve’s ongoing rate reduction program initiated in September 2024, may attract both retail and institutional investors to the market or prompt them to increase their holdings.
Skurka told Cointelegraph that these rate cuts indicate a larger global shift in monetary policy. “As the rest of the world continues to enter into lower interest rate environments as well, that is going to create a really compelling opportunity for the digital asset ecosystem to expand and recapture that retail excitement.”
He clarified that the “signal of cuts and the idea that rates are not going higher” could create short-term optimism among investors. Typically, the full impact of rate reductions is felt within 6-18 months after cuts are announced.
In addition, Skurka highlighted the 2024 U.S. Presidential election as another key factor for Bitcoin’s price. He noted that the crypto industry anticipates a Trump presidency would be favorable for crypto, while a potential Harris win could trigger short-term market volatility.
However, Skurka argued that Bitcoin’s long-term price trajectory will rise regardless of the election outcome, expecting that U.S. regulatory policies may shift positively due to pressure from crypto advocacy groups. “The net result of all these lobbying efforts should be a more positive and friendly environment on the other side of the election, regardless of who wins.”
With these catalysts, combined with significant Bitcoin ETF inflows, Skurka envisions a “very positive setup” for Bitcoin’s growth over the next several years.
