By Bitcoin soared to unprecedented heights Wednesday, touching $75,345 in early trading as investors responded to Donald Trump’s presidential victory with optimism about cryptocurrency’s future under his administration.
The digital currency’s dramatic 8% spike reflects a remarkable shift in market sentiment, driven by Trump’s evolution from crypto skeptic to advocate during his campaign. Though the price later settled around $73,500, analysts suggest this could mark the beginning of a sustained rally.
“Bitcoin is the one asset that was always going to soar if Trump returned to the White House,” said Russ Mould, investment director at AJ Bell. “The market is now speculating about when, not if, it will smash through $100,000.”
Trump’s campaign actively courted cryptocurrency supporters, promising to make America “the crypto capital of the planet” and establish a “strategic reserve” of bitcoin. His commitment to digital currencies manifested in several ways, including accepting campaign donations in cryptocurrency and launching World Liberty Financial, a crypto trading venture involving family members.
The president-elect’s July appearance at a bitcoin conference marked a decisive turning point in his relationship with digital currencies, contrasting sharply with his previous skepticism. His pledge to create a national cryptocurrency reserve particularly energized investors.
“Trump has already declared his love of the digital currency and crypto traders now have a new narrative by which to get even more excited about where the price could go,” Mould added, highlighting the market’s enthusiasm for potential crypto-friendly policies under the incoming administration.
AP
