In a new study, Geoff Kendrick, head of digital asset research at Standard Chartered, estimates that Bitcoin could reach $73,800 before the US Presidential Election in November, up 12% from current levels. To support this, Kendrick cites the pattern of change in Bitcoin versus MicroStrategy stock multiples (stock multiples = total assets ÷ total common equity). MicroStrategy is known for hoarding large amounts of Bitcoin, with its reserves recently reaching 252,000. After trading relatively in sync with the bitcoin price (green line) throughout 2024, the microstrategy stock multiple (blue line) has exploded. According to Kendrick, the two fundamentals responsible for this premium are likely to drive bitcoin higher, and the gap between the two will narrow over time. The first factor was the news last month that BNY Mellon had been granted an exemption from Employee Accounting Bulletin 121 (SAB 121), an unpopular piece of legislation that forces traders to list cryptocurrency holdings on their balance sheets. And deregulation is generally considered a positive factor for Bitcoin. Second, the Employee Accounting Bulletin 121 exemption is closely tied to MicroStrategy's announced plans to become a "bitcoin bank", which will provide bitcoin capital markets instruments in the future. Kendrick expects that future exemptions could allow the company to earn income by lending bitcoin.