Bitcoin surges to $72,000 as investors eye trump election prospects
Bitcoin Surges Past $72,000 Amid Election Speculation
In New York, cryptocurrency trading witnessed an increase of 3.9 percent, bringing the price up to $72,784.40. This rise puts it nearer to its all-time high of almost $74,000, which was reached in March.
The recent surge in the market is largely credited to a trend that analysts refer to as the “Trump trade.” Republican contender Donald Trump has promised to establish the United States as “the leading nation in bitcoin” if he wins back the presidency. This commitment has energized cryptocurrency investors, many of whom believe that Trump’s possible return to office would be favorable for digital currencies.
As Trump and Democratic nominee Kamala Harris are tied in the polls, public sentiment seems to lean toward a Trump win. After previously labeling bitcoin a “scam,” Trump has shifted his stance and is now reaching out to the cryptocurrency community. He has even vowed to remove Gary Gensler, the chairman of the US Securities and Exchange Commission (SEC), due to Gensler’s strong stance against crypto fraud.
Supporters of Bitcoin believe that the digital currency acts as a safeguard against inflation, thanks to its limited supply of 21 million coins, of which more than 19 million are already in circulation. A potential Trump presidency is expected to influence inflation because of his plans to impose tariffs on imported goods, such as a blanket 20 percent tariff and possibly a 60 percent tariff on products from China. Nevertheless, Trump argues that these tariffs won't lead to inflation.
Kamala Harris, the Democratic candidate, has shown her backing for digital currencies, calling cryptocurrency a key player in the "industries of the future" within her latest economic plan. Her campaign has been engaging in conversations with cryptocurrency companies, suggesting that she is willing to collaborate with this领域.
Market analyst Tony Sycamore from IG Australia noted that the recent rise in Bitcoin's price indicates a positive outlook among investors regarding a potential Trump win. At the same time, Ryan Lee, the top analyst at Bitget Research, pointed out that both Trump and Harris seem to favor a transparent regulatory framework for digital currencies. However, Trump’s outspoken support has significantly boosted investor enthusiasm.
Investor enthusiasm has also boosted other digital currencies. Ether, the second-largest cryptocurrency by market value, experienced a 3.9 percent increase, reaching a price of $2,667 in New York on Tuesday.
In summary, the recent trend of Bitcoin highlights how political events influence the cryptocurrency market. Many investors are preparing to keep a close eye on the results of the elections in the coming weeks.
Jamie is an experienced business journalist and a Senior Reporter at Business Matters, with more than ten years of experience covering small and medium-sized enterprises (SMEs) in the UK. They have a degree in Business Administration and actively engage in industry conferences and workshops to keep up with the latest trends. Outside of reporting on the newest developments in the business world, Jamie is dedicated to mentoring aspiring journalists and entrepreneurs, using their extensive knowledge to inspire the future leaders of the business community.
