Crypto will likely remain a political issue until Democrats change their critical stance on the sector, according to Galaxy CEO Mike Novogratz. He suggests that the upcoming US presidential election could help move bitcoin out of its current consolidation phase. During an earnings call, Novogratz mentioned that, following the approval of spot bitcoin ETFs and the recent block reward halving, bitcoin might trade between $55,000 and $75,000 in the short term.

Bitcoin was priced around $61,450 at the time. He expects this range to hold until either the Federal Reserve cuts rates or the election concludes. The 2024 election is expected to clarify the crypto regulatory landscape, with President Joe Biden and former President Donald Trump potentially facing off again.

Recently, the Biden administration indicated that the president would veto a resolution overturning the SEC’s Staff Accounting Bulletin (SAB) 121, which mandates that crypto custodians report liabilities and corresponding assets on their balance sheets. This stance has been perceived negatively by the crypto community.

Novogratz criticized prominent Democrats like Elizabeth Warren and SEC Chair Gary Gensler for their opposition to crypto, comparing it to a political party opposing dog ownership, which is broadly unpopular. With potentially up to 93 million crypto owners in the US, Novogratz highlighted the need for bipartisan support for the industry to thrive.

Trump’s pro-crypto stance contrasts with Biden’s, exemplified by Trump inviting Messari founder Ryan Selkis to speak at a recent event. This has led some in the crypto community to view Republicans more favorably. Novogratz cautioned against this partisan view, emphasizing the need for bipartisan support.

The resolution to reverse SAB 121, having passed the House, now moves to the Senate, where its support will test whether some Democrats might shift their stance on crypto. Despite some progress on crypto-related bills in the House, legislative movement has been slow, especially during an election year. Novogratz stressed the importance of bipartisan cooperation for meaningful progress on crypto legislation.