Bitcoin recently reached an all-time high of over 100,000 Canadian dollars, and Dean Skurka, CEO of WonderFi, believes macroeconomic factors in Canada and the US could drive its price even higher in the next two years. Skurka points to recent interest rate cuts in both countries and the upcoming 2024 US Presidential election as key elements that could continue Bitcoin’s upward trajectory.
Interest Rate Cuts in Canada and the US Fuel Bitcoin’s Momentum
The recent decision by the Bank of Canada to lower interest rates by 50 basis points, alongside ongoing rate cuts by the US Federal Reserve, signals a favorable environment for Bitcoin, according to Skurka. In a recent interview, he explained that lower interest rates create an attractive scenario for both retail and institutional investors to enter the crypto market or increase existing positions in digital assets like Bitcoin.
Skurka emphasized that these rate cuts reflect a global trend toward looser monetary policy, which he believes will support the growth of the digital asset ecosystem. He explained, “As more countries adopt lower interest rates, it creates a compelling opportunity for digital assets to expand and rekindle retail enthusiasm.”
He further noted that even the anticipation of steady or reduced rates can boost investor confidence, as the effects of rate cuts generally become apparent within 6 to 18 months.
The 2024 US Presidential Election: A Key Catalyst for Bitcoin’s Price
Skurka also identified the 2024 US Presidential election as a significant driver for Bitcoin. Many within the crypto community perceive a potential Trump presidency as beneficial for the industry, while a Harris win might cause short-term price volatility. However, Skurka believes Bitcoin’s long-term prospects remain strong, regardless of the election outcome. He expects the regulatory environment in the US to shift positively post-election due to lobbying efforts from industry advocacy groups.
“The overall impact of these lobbying initiatives should foster a more favorable regulatory climate on the other side of the election, regardless of who wins,” he explained.
Bitcoin ETF Inflows: A Sign of Strong Institutional Interest
Skurka also highlighted the substantial inflows into Bitcoin ETFs as another sign of Bitcoin’s enduring appeal among institutional investors. This consistent demand, combined with other economic catalysts, sets a promising foundation for Bitcoin’s growth over the next several years.
With rate cuts, political dynamics, and institutional investments aligning, Skurka sees a “very positive setup” for Bitcoin’s price trajectory in the medium term.
