Bitcoin could reach new record levels if worries about the U.S. Federal Reserve’s independence continue, says Geoff Kendrick from Standard Chartered. He explains that Bitcoin acts as a hedge when trust in the traditional financial system weakens, thanks to its decentralized nature. This concern has grown recently after U.S. President Donald Trump suggested he might remove Fed Chair Jerome Powell over disagreements on interest rate policy.
As a result, investors are demanding higher returns to hold long-term U.S. government bonds compared to short-term ones—a signal of rising risk in the system. This shift is boosting demand for Bitcoin. The cryptocurrency recently climbed to a six-week high of $90,459. Standard Chartered predicts that Bitcoin could soar to $200,000 by the end of 2025 if these financial uncertainties persist.
