Standard Chartered: Bitcoin Will Continue to Rise Amid Fed Independence Risks

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Bitcoin prices might continue to rise if concerns about the Federal Reserve’s independence persist, according to Geoffrey Kendrick, Standard Chartered’s global head of digital assets research.

He considers this a government-sector risk, a scenario where Bitcoin often excels due to its role as a decentralized hedge against traditional financial systems.

Kendrick explains that Bitcoin primarily serves as a hedge against risks to the traditional financial system, whether from private sector issues like bank failures or government sector concerns such as those surrounding the Fed’s independence.

“There’s a current threat to the Fed’s independence with the possibility of Powell’s replacement, falling into this second category,” Kendrick stated. “Measurably, this threat is reflected in the U.S. Treasury term premium, now at a 12-year high.”