Trump's Victory Ignites Cryptocurrency Market, Bitcoin Breaks $80,000, $100,000 on the Horizon?

Trump's Victory Ignites Cryptocurrency Market, Bitcoin Breaks $80,000, $100,000 on the Horizon?Days after the dust settled on the US presidential election, the global cryptocurrency market is still basking in the glow of Trump's victory. On Sunday, cryptocurrencies continued their upward trajectory, with Bitcoin, the world's largest and most well-known cryptocurrency, breaking through the $80,000 mark for the first time, setting a new all-time high

Trump's Victory Ignites Cryptocurrency Market, Bitcoin Breaks $80,000, $100,000 on the Horizon?

Days after the dust settled on the US presidential election, the global cryptocurrency market is still basking in the glow of Trump's victory. On Sunday, cryptocurrencies continued their upward trajectory, with Bitcoin, the world's largest and most well-known cryptocurrency, breaking through the $80,000 mark for the first time, setting a new all-time high. On Monday morning, Bitcoin continued its ascent, briefly surpassing $81,000.

According to Coindesk data, as of now, Bitcoin prices have risen 4.81% to $80,358.72, hitting an intraday high of $81,454.61 in the past 24 hours. This means that Bitcoin prices have more than doubled since their yearly low of $38,505 on January 23rd, and have risen nearly 20% since election day.

Beyond Bitcoin, this optimistic sentiment has also boosted the value of smaller tokens, whose prices tend to fluctuate more dramatically. Ripple's price surged 11% on Sunday. Dogecoin and Shiba Inu soared 17% and 31%, respectively. Notably, Dogecoin is one of the favorite tokens of Elon Musk, a vocal Trump supporter.

Trump's sweeping victory across seven battleground states last week, securing a decisive win in the presidential election, has sparked cheers in the digital asset industry. The industry spent over $100 million supporting a range of cryptocurrency-friendly candidates in this election cycle.

Trump has been a vocal supporter of the cryptocurrency industry this year. During his campaign, he promised several measures to support cryptocurrencies, including incorporating Bitcoin into the national reserve, making the US the world's cryptocurrency capital, and appointing regulators who are interested in digital assets.

Trump's stance stands in stark contrast to President Biden's crackdown on digital assets. Gary Gensler, Chairman of the Securities and Exchange Commission (SEC), has repeatedly criticized the cryptocurrency industry, accusing it of being rife with fraud and misconduct.

Crypto is about to enter a golden age," stated Alex Thorn, Head of Research at GalaxyDigital, in a research report last Friday. Trump has promised to make the US the world's crypto capital, and he has many strong crypto supporters in his inner circle His team, his family and donors have been crypto friendly, increasing the likelihood that Trump will deliver on his campaign promises.

Furthermore, major financial institutions, including BlackRock, have increased their Bitcoin holdings. BlackRock's iShares Bitcoin Trust has accumulated approximately $16.9 billion worth of Bitcoin, indicating sustained institutional demand.

Stocks linked to cryptocurrency prices have also received a boost. Cryptocurrency exchange platform Coinbase surged 48% last week, marking its best single-week performance since January 2023. Coinbase is one of the largest corporate donors in this election cycle.

As Bitcoin prices continue their upward climb, some analysts are starting to predict that the cryptocurrency could break through $100,000 this year.

James Butterfill, Head of Research at CoinShares, recently stated that with Trump's victory and the Republicans' majority in the Senate, it has become easier to push for a "forecasted relaxed regulatory framework," making Bitcoin reaching $100,000 - a 33% increase - "now a possibility."

Geoff Kendrick, Global Head of Digital Asset Research at Standard Chartered, believes that following Trump's victory, Bitcoin's price will reach $125,000 by the end of this year and $200,000 by the end of 2025.

While it's still unclear how long the impact of Trump's victory on the cryptocurrency market will last, the prevailing market sentiment suggests that his policies will continue to benefit the industry, propelling the prices of cryptocurrencies like Bitcoin even higher.