Bitcoin enters US politics: Will world's largest crypto surge further with Musk support?

Elon Musk’s America Party backs BTC—can the political boost drive price beyond $125,000?

Last updated: July 09, 2025 | 07:07

2 MIN READ

Where will this spike in Bitcoin prices end up at? Even if US regulations provide ample cushion, investors should safeguard their interests.

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Dubai: As Bitcoin takes center stage in US political discourse, the world's largest cryptocurrency is on the verge of a fresh breakout—and UAE-based crypto holders should be paying attention.

Tesla and SpaceX boss Elon Musk has confirmed via X that his newly launched America Party will officially support Bitcoin, declaring “Fiat is hopeless, so yes.”

Musk, a long-time BTC advocate, still holds 11,509 Bitcoin in Tesla’s reserves—worth roughly $1.26 billion—after his 2021 $1.5 billion investment.

Also Read: Elon Musk launches ‘America Party’ after split with Trump: What it means for US politics

Market implications: BTC set to boom?

Analyst forecasts like CoinCodex predict Tesla stock (and Bitcoin) could rise by up to 66% by the end of 2025.
Institutional backing, including expected inflows from spot BTC ETFs, support a bullish trend.
Bitcoin price models suggest a 2025 average of $125,027, and a potential climb to $266,129 by 2030—though short-term corrections are likely.

Why this matters to UAE crypto holders

Political validation: With Bitcoin endorsed by Musk’s party, BTC gains further legitimacy—boosting confidence among UAE traders and investors.
Timing the surge: As BTC skids into consolidation phases post-halving, political tailwinds could spark powerful rallies.
Institutional inflows: If U.S. policy turns favorable, expect fresh capital from pension funds and sovereign assets—and new opportunities in the UAE.

Risks to watch when buying Bitcoin

Regulatory clampdowns in the U.S. and Europe could suppress gains.
Geopolitical instability or recession expectations may restrain BTC’s upside.
Altcoin competition and environmental pressures could divert interest away from Bitcoin.

Also Read: Why Elon Musk’s feud with US President Trump could hurt SpaceX, Tesla, and X

Bottom Line

Bitcoin’s entry into mainstream U.S. politics—backed by Elon Musk—could be a major catalyst for a renewed bull run.

With projected levels topping $125K in 2025, UAE remitters and investors stand to gain—especially with ETFs making BTC more accessible. But always weigh the volatility and regulatory risks before jumping in.

Justin VargheseYour Money Editor

Justin is a personal finance author and seasoned business journalist with over a decade of experience. He makes it his mission to break down complex financial topics and make them clear, relatable, and relevant—helping everyday readers navigate today’s economy with confidence. Before returning to his Middle Eastern roots, where he was born and raised, Justin worked as a Business Correspondent at Reuters, reporting on equities and economic trends across both the Middle East and Asia-Pacific regions.