Bitcoin hits new all-time high as US election result nears
The market is bullish as traders expect Trump to win and support crypto
Bitcoin has hit a new all-time high, coming close to $75,000 for the first time, with many speculating that this surge is linked to Donald Trump's rising popularity in US election polls.
As Trump gains traction in the race, the crypto community anticipates that a potential victory for him could be a win for the industry, driving Bitcoin's price to new heights. Its previous all-time high (ATH) was $73,750 back in March this year.
Recently, Trump has voiced his support for the industry and has even launched his own token – World Liberty Financial.
And the crypto community loves you too @realDonaldTrump @EricTrump @DonaldJTrumpJr https://t.co/BDouvwJRCW
— WLFI (@worldlibertyfi) November 1, 2024
Switching sides
However, Trump has not always been a supporter of cryptocurrency. In 2019, he spoke out on X against cryptocurrencies, saying "I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air."
I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air. Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity....
— Donald J. Trump (@realDonaldTrump) July 12, 2019
While Trump has not acknowledged the reason for his change of heart, it could be driven by growing pressure from the crypto community, the rise of crypto-friendly policies around the world, or as a way to appeal to a broader base. Crypto advocates often argue that these technologies promote financial freedom and innovation, which could resonate with Trump’s pro-business, anti-regulation stance.
Political promises
In July, Trump released a GOP platform – a kind of political manifesto – promising to end the "crypto crackdown" and halt development of a central bank digital currency (CBDC), which many see as a way for governments to closely monitor financial activity.
Trump argues that if he’s re-elected, his administration would create more crypto-friendly regulations and protect mining rights. He also spoke directly to the crypto community at the Bitcoin 2024 conference in Tennessee, promising to fire Gary Gensler, the current head of the Securities and Exchange Commission (SEC), known for his tough stance on crypto companies.
These bold promises may be difficult to implement in practice. Changes to crypto regulations require support from Congress, and a single president cannot control everything. Additionally, firing Gensler would be complicated and could take a long time.
Other factors at play?
