JP Morgan analysts predict a "debasement trade" in which investors seek to hedge against weakening currencies, geopolitical tensions, and government deficits. They believe that a Donald Trump victory in the US presidential election would increase the likelihood of this trade. Gold and Bitcoin are seen as assets that could benefit from this trend. Trump's pro-crypto stance and policies such as increasing tariffs could lead to inflation and geopolitical tensions, further driving demand for gold and Bitcoin. The report also mentions Trump's support for the cryptocurrency industry, including his desire for Bitcoin mining in the US and the launch of a DeFi project. Both gold and Bitcoin have seen price increases this year, with Bitcoin almost reaching its all-time high.
Expert Says This Time Will Not Be Different After Massive Bitcoin Rallies in Last Three US Elections