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On Sunday, Bitcoin surged to a new high as traders placed bets that the cryptocurrency would benefit from Donald Trump's return to the White House.
“The digital currency crossed the $80,000 mark for the first time ever.”
It has been increasing ever since the Republican nominee won the presidential election on November 5th on the promise that he would loosen laws governing digital currencies. On Wednesday, Bitcoin hit $75,000, surpassing its previous record high of $73,797.98 set in March.
Crypto Price Movements
The top-selling cryptocurrency's price increased by 4.5% to $79,800.19. After crossing the $3,000 mark on Saturday, Ether increased by 3%. It was last sold for $3,203.10.
As investors started to process the possible effects of President-elect Donald Trump winning a second term, smaller coins saw larger movements. The payment coin XRP saw an 11% increase. The Cardano-related financial token surged 40%. Dogecoin and Shiba Inu coin increased by 17% and 31%, respectively.
Trump as Pro-Crypto Candidate
Trump was viewed as a pro-crypto contestant in his fight against Kamala Harris of the Democratic Party. He has completely changed his opinion on cryptocurrency, even building his own platform for the unit, after calling them a scam during his first term in office.
He has promised to make the US “the capital of Bitcoin and Cryptocurrency” and to appoint Elon Musk to lead a thorough examination of government waste.
Trump stated in September that he would introduce a digital current network named World Liberty Financial. However, a small percentage of its tokens were purchased at its initial sales launch earlier this month.
Alex Thorn's Statements on Crypto
In a research report released on Friday, Galaxy Digital's head of research, Alex Thorn, stated:
“Crypto is poised to enter a golden era,”
“Trump's high-level team is full of passionate crypto enthusiasts, and he is working to make America the "crypto capital of the world." Trump is more likely to keep his campaign promises about the business because his team, family, and donors are all pro-crypto.”
Thorn said:
“In this scenario, we believe that the price of Bitcoin and others will rise more than the present all-time high over the course of the next two years.”
“The largest capital market in the world is currently experiencing a tailwind instead of a bad headwind, and nobody is properly happy.”
Bitcoin – Safe Asset
Even the Securities and Exchange Commission does not classify Bitcoin as a security, so it was considered a safe asset. Trump has made major openings regarding Bitcoin, including discussing the need to keep all Bitcoin mined in the United States and analyzing the creation of a planned national reserve.
Trump has promised a crypto-friendly regulatory climate, which many in his inner circle seem to prioritize. However, Ether and other cryptocurrencies stand to benefit far more from it. For instance, because they don't pay out claiming rewards, bitcoin ETFs have yet to be as successful as bitcoin ETFs. Next year, many in the sector hope things will change.
