Donald Trump has become the new US President: what does this mean for the cryptocurrency market?
Date: 2024-11-07 Author: Gabriel Deangelo Categories: IN WORLD
The politician promises to make the country the "crypto capital of the world", fire SEC head Gary Gensler and take other steps to support digital assets.
Republican Donald Trump defeated Democrat Kamala Harris in the 2024 election, which was confirmed by media outlets including Bloomberg, AP News and FOX News. Among the first to congratulate Trump were world leaders: Emmanuel Macron, Volodymyr Zelensky, Nayib Bukele and Benjamin Netanyahu. The inauguration will take place on January 20, 2025, and J.D. Vance, a senator from Ohio, will become vice president.
Trump, who positions himself as the "cryptocurrency president", already in June 2024 at a meeting in San Francisco declared his support for digital assets and proposed making the United States the world center of cryptocurrency. He also promised to release Ross Ulbricht, the founder of Silk Road, create a strategic reserve of bitcoin and prevent the introduction of a central bank digital currency (CBDC). Moreover, Trump intends to support the development of mining in the United States and on the international arena.
Cryptocurrency prices reacted sharply to the election results: bitcoin reached a new high of $75,400, after which it corrected to $73,600. PolitiFi's "political" tokens also showed such a reaction: MAGA and Super Trump first grew, but then fell noticeably. At the same time, tokens associated with Kamala Harris lost most of their value, with the fall reaching 90% or more.
According to analysts, Trump's victory will have a positive effect on the crypto market. Thus, Bitwise CIO Matt Hougan said in October that the election of the Republican could push bitcoin above $80,000 by the end of the year. JPMorgan and Standard Chartered also predict a rise in Bitcoin and other digital assets if the Republicans return to the White House.
These elections have also been significant for prediction platforms such as Polymarket and Kalshi. Polymarket has attracted billions of dollars in bets on the outcome of the election, allowing users to make their predictions and analyze events in real time. Platforms such as BET on Solana and Drift have also seen growth amid interest in predicting political events.
So Donald Trump’s victory has not only renewed interest in cryptocurrencies, but also spurred the development of prediction platforms.
