Trump’s crypto promises drive bitcoin to new heights, but industry waits for action on regulatory changes.
Bitcoin Soars as Trump Victory Ignites Crypto Market
Bitcoin hit an all-time high on Wednesday, driven by Donald Trump’s election victory and his late embrace of the cryptocurrency sector. Surging nearly eight percent, bitcoin climbed above $75,000, breaking its previous record set in March. Other major cryptocurrencies followed suit, with ether rising eight percent, and dogecoin — the preferred digital currency of Trump ally Elon Musk — soaring by 18 percent.
Trump’s Crypto Shift and Strategic Promises
Initially skeptical of digital assets, Trump began supporting cryptocurrency during his campaign, vowing to transform the United States into a “crypto capital of the planet.” His campaign accepted crypto donations, and he made appearances at major bitcoin events, a shift from his previous position on digital currencies. Trump promised a “strategic reserve” of bitcoin, pushing hopes for industry-friendly legislation.
Crypto-Related Stocks Jump on Trump’s Pro-Crypto Stance
Following the news, shares in crypto-related companies skyrocketed. Coinbase, one of the largest exchanges, surged by 17 percent, while Robinhood Markets climbed 12 percent, and MicroStrategy, the biggest corporate bitcoin holder, jumped 10 percent. The market responded enthusiastically to Trump’s win, seeing it as a potential pivot toward reduced regulatory constraints for digital assets.
Promises for a Crypto-Friendly Administration
Trump’s commitment to crypto could mean removing barriers for the industry. He previously indicated plans to replace Gary Gensler, head of the SEC, known for tightening crypto regulations. Brian Armstrong, CEO of Coinbase, commented on Trump’s win, saying, “Tonight the crypto voter has spoken decisively — across party lines and in key races.” Armstrong hopes for bipartisan support to establish clear regulations for digital assets.
Industry Awaits Action on Regulatory Changes
While the market celebrated, experts urged caution. Russ Mould, AJ Bell’s investment director, observed, “Bitcoin is the one asset that was always going to soar if Trump returned to the White House.” He added that traders now speculate on bitcoin reaching $100,000. However, industry insiders like Susannah Streeter of Hargreaves Lansdown warned investors to approach crypto carefully, given its history of “wild swings.”
Will Trump Fulfill His Crypto-Friendly Agenda?
Despite the market’s optimism, Trump must now fulfill his pro-crypto promises. The industry eagerly awaits concrete action, particularly regarding “light touch regulation” that supports innovation without excessive oversight. Streeter noted, “Crypto fans want the sheen of legitimacy but don’t want regulations to stifle opportunity.”
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