Bitcoin is proving its mettle and shows no signs of stopping. The crypto skyrocketed a new record on Monday, as investors bet that Donald Trump’s return to the Oval Office will be good for the crypto industry.
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The world’s largest and most recognized cryptocurrency has now more than doubled from its year-to-date low of $38,4000 and was last at $81,405 after previously hitting an all-time high of $81,890, Coingecko data shows.
A day after the election, Bitcoin reached $75,000, surpassing the previous record of $74,797 set in March last year. Bitcoin’s price increase in early November is not surprising, knowing how Bitcoin and crypto have become a hot election topic.
While Democrat Kamala Harris expressed her support for new technologies such as AI, Trump was seen as more receptive and favorable to the Bitcoin and crypto community. Bitcoin’s latest surge has put pressure on the asset’s value market capitalization to more than $2.7 trillion, according to data from CoinMarketCap.
Bitcoin inks another ATH, boosts crypto landscape
Bitcoin’s bullish price action started on November 5 last year, when Trump’s numbers showed a convincing victory. Earlier Wednesday, Bitcoin’s price reached $75k and quickly rose to new highlights until Monday.
Bitcoin’s rise also benefited the rest of the crypto industry. For example, with the price increase of Bitcoin, MicroStrategy’s stock price rose, which was confirmed by Coinbase Global. Trader optimism is high; even the Dow Jones Industrial Average and the S&P 500 ended the week black.
Trump’s Change in Bitcoin Policy
Interestingly enough, incoming President Trump was initially not enthusiastic about Bitcoin and cryptocurrencies. During his first presidency, Trump labeled these digital assets a scam. However, with his recent public appearances and statements, Trump changed his tune and is now showing tremendous support.
In one of his campaign speeches, Trump promised to make the US the Bitcoin and crypto capital of the world. He also enjoys the support of many famous crypto personalities, including Elon Musk.
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Crypto project
In addition to his public statements supporting Bitcoin, Trump has also explored a crypto project. Last September, Trump and his sons and other entrepreneurs launched World Liberty Financial, a digital currency platform. However, technical issues and other issues marred the launch of the project.
While Bitcoin and cryptocurrencies are known for their volatility, Trump has led the adoption of digital assets in recent months. Before the election, he used BTC for retail purchases, the first US president to do so, making it a historic transaction.
Featured image of DALL-E, chart from TradingView