Dollar weakness will send Bitcoin’s price soaring, analysts say. The top crypto is still down nearly 30% from its all-time high of $126,000. Further devaluation of the US dollar in 2026 will send Bitcoin’s price soaring, analysts say. Bitcoin is the best expression of the dollar debasement trade and “will regain its throne as the number one performing macro asset in 2026”, analysts David Brickell and Chris Mills of the London Crypto Club said in their weekly newsletter.
US President Donald Trump will “hand out the candy” before the November midterm elections of new lawmakers, which are largely seen as a high-stakes referendum on the performance of the White House, they predict. Bitcoin’s price to $200,000 in the first quarter of 2026. Brickell and Mills’ call comes as the value of the dollar has plunged nearly 10% over the past year. The greenback’s weakness was initially triggered by Trump’s launch of a trade war against China and other major US trading partners.
It has since been hammered by significant geopolitical turbulence and expectations the Federal Reserve will continue slashing interest rates and injecting more money to the tune of hundreds of billions into the economy. Brickell and Mills said the Trump administration is looking to “run it hot” and that the debasement trade “is set to go into overdrive” in 2026. Traders who bought at near Bitcoin’s all-time high of $126,00 will be looking to sell in order to break even, the pair say. Onchain analytics now suggest reduced profit taking and consequent supply pressure from whales and long term holders, with realised price gains decelerating.
The top crypto is trading just above $91,000 at time of reporting, nearly 30% down from its all-time high. Bitcoin is down up 0.2% over the past 24 hours, trading at $90,716. Ethereum is up 0.6% past 24 hours at $3,116. The CME FedWatch tool shows that the Fed is likely to hold interest rates at their current level during the next Open Market Committee meeting on January 28.
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