Experts analyze two reasons why Bitcoin may continue to rise

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Experts: Two reasons why Bitcoin may continue to rise
Experts: Two reasons why Bitcoin may continue to rise
November 13, 2024


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Attorney Jeremy Hogan discusses the latest developments regarding Bitcoin, highlighting two main factors that could pave the way for a continued rise.
The price of Bitcoin has surged following the U.S. election, which saw a president and more than 200 lawmakers support cryptocurrency. Bitcoin surged to $89,956 in the week after the election as investors warmed to the upcoming administration’s prospects for cryptocurrencies.
Two factors driving Bitcoin adoption by governments and institutions
Attorney Jeremy Hogan, a partner at Hogan Law Firm and an attorney supporting XRP, outlined Bitcoin’s recent performance and said the leading crypto asset could see significant growth in the coming months.

What happened to Bitcoin recently?
There are two things:
First, Trump's victory, combined with Republican victories in the Senate and House (just formally confirmed yesterday), plus now some Democratic support, means that the US "Bitcoin Buying Plan" seems likely to pass next... pic.twitter.com/TSJNgXMliu
— Jeremy Hogan (@attorneyjeremy1) November 12, 2024

He highlighted two factors that could drive government and institutional investment in Bitcoin, leading to a huge rally in BTC prices.
Government adoption
Attorney Hogan referenced the recent election results, which resulted in Trump’s victory and the Republican Party having more pro-crypto lawmakers in both the Senate and the House of Representatives.
The pro-XRP lawyer said that with additional support from the Democratic Party, the likelihood of U.S. “Bitcoin purchase program” legislation passing next year is high.
To provide context, the legislation proposes that the U.S. government purchase no more than 200,000 BTC per year for five years, totaling to 1 million BTC. This represents approximately 5.05% of Bitcoin’s 19.78 million circulating supply.
The legislation recommends that the U.S. Secretary of State hold any acquired Bitcoin for at least 20 years to ensure long-term stability.
Notably, Hogan stressed that if the bill passes, it could influence other countries to accumulate Bitcoin, thereby significantly boosting the price of the asset.
Institutional adoption
Hogan specifically mentioned that MicroStrategy, after receiving a hint of the bill, immediately embarked on a wave of Bitcoin accumulation after the election. It is worth recalling that MicroStrategy announced on November 11 that it had purchased 27,200 BTC worth $2.03 billion. According to MicroStrategy, the average cost per BTC is $74,463.
Currently, MicroStrategy holds 279,400 BTC at a cost of $11.9 billion. At the current price of $87,363, MicroStrategy’s Bitcoin portfolio is worth approximately $24.41 billion, representing a ROI of 105%.
Given MicroStrategy’s massive profits, Hogan speculated that a company like Microsoft with excess cash reserves could face intense pressure from shareholders to invest in Bitcoin.
Finally, looking ahead, Hogan believes that Bitcoin could continue to rise due to a combination of institutional and government-backed BTC investments.

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