Bitcoin Breaks $80,000 as President-Elect Trump’s Pro-Crypto Stance Fuels Market Surge

Bitcoin surged past $80,000 for the first time, propelled by President-elect Donald Trump’s positive stance on digital assets and a pro-crypto Congress.

The cryptocurrency rose as much as 4.7%, reaching a new record of $80,092 on Sunday.

During his campaign, Trump promised to position the U.S. as a global leader in the digital asset industry, including establishing a strategic Bitcoin reserve and appointing regulators favorable to crypto. With stronger-than-expected election results on Tuesday, Trump’s Republican Party retained control of the Senate and is close to securing a narrow majority in the House.

“With Trump’s win just settling, it was likely we’d see a rally of some sort due to perceptions of him being pro-crypto, which is playing out now,” said Le Shi, managing director in Hong Kong at market-making firm Auros.

ETFs and Interest Rates
Bitcoin has climbed about 91% in 2024, buoyed by robust demand for U.S. Bitcoin ETFs and interest rate cuts by the Federal Reserve. Bitcoin’s growth this year, fueled further by the U.S. election outcome, has outpaced other assets like stocks and gold.

The BlackRock Inc. iShares Bitcoin Trust, valued at $35 billion, reported a record net inflow of nearly $1.4 billion on Thursday, according to Bloomberg data, and its trading volume hit an all-time high the day before, highlighting the impact of Trump’s victory on the crypto market.

Trump’s approach contrasts with President Joe Biden’s administration, which increased regulatory scrutiny on the sector. Securities & Exchange Commission Chair Gary Gensler labeled the crypto space as fraught with fraud, tightening oversight after the 2022 market crash, and the high-profile bankruptcy of Sam Bankman-Fried’s FTX exchange.

Crypto companies and industry leaders invested significantly in this election cycle to support candidates seen as favorable toward digital assets.

“Trump has committed to supportive regulation, and with Republican control of Congress, the passage of crypto-friendly legislation looks more achievable,” said Noelle Acheson, author of the Crypto Is Macro Now newsletter.

Disclaimer: This content is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are highly volatile, and past performance is not indicative of future results. Please conduct your own research or consult a professional advisor before making investment decisions.


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