Bitcoin Hits Record High Amid Trump Lead in Presidential Elections
Bitcoin surged to a record high on Wednesday as early vote counting showed Donald Trump well ahead in the 2024 presidential elections, boosting hopes for more friendly regulation. The cryptocurrency surged nearly 10% to a record high of $75,071.8. Broader crypto prices also rallied, with the world’s no. 2 crypto, Ethereum, rising 9.1% to $2,622.90. Meme token Dogecoin surged 23%, amid speculation that Elon Musk had referenced the token during recent campaigning for Trump.
Trump leads Harris with key swing state wins
Crypto prices shot up as vote counting as of 01:14 ET (06:14 GMT) showed Trump in the lead with 247 electoral votes, while Kamala Harris held 210 votes. Coverage by the Associated Press showed Trump won key battleground states North Carolina and Georgia, and was leading in other swing states including Pennsylvania, Arizona, Nevada, and Wisconsin. The Republican party won a majority in the Senate and was also seen leading in the House of Representatives. A Republican sweep in Congress presents a clear path for Trump to enact major policy changes.
Crypto markets cheered the prospect of a Trump presidency, given that he has maintained a largely pro-crypto stance in campaigning and has also promised to enact friendly regulation for the industry. On the broader policy front, Trump is widely expected to enact inflationary policies, given his protectionist stance on trade and immigration. The US Dollar surged to near four-month highs on this notion. But Bitcoin largely shrugged off any pressure from a stronger dollar, as markets also positioned for a Federal Reserve meeting later this week, where the central bank is widely expected to cut interest rates by 25 basis points. The longer-term outlook for rates, however, turned less dovish on the prospect of a Trump victory.
Crypto price today: altcoins track Bitcoin rally, but record highs elusive
Broader cryptocurrency prices also rallied tracking Bitcoin, although most altcoins still remained well below their record peaks. Ripple jumped 16.8% to an over two-month peak, while Litecoin rose 10% to a two-week high. Cardano rallied 10% but was trading close to lifetime lows, while Polkadot rose 5.8% to a two-week high.
Analysis:
– The surge in Bitcoin and other cryptocurrencies was driven by early vote counting showing Donald Trump leading in the 2024 presidential elections.
– Trump’s pro-crypto stance and promises of friendly regulation boosted investor confidence in the cryptocurrency market.
– A Republican sweep in Congress presents a clear path for Trump to enact major policy changes, including potentially inflationary policies.
– Despite the US Dollar surging to near four-month highs, Bitcoin remained resilient as markets awaited a Federal Reserve meeting with expectations of a rate cut.
– Altcoins also rallied alongside Bitcoin, but most were still below their record highs, indicating some uncertainty in the market.