Bitcoin has surged past $80,000 following Donald Trump’s decisive victory in the U.S. election last week. As Republicans edge closer to full control of Congress, the crypto market is responding with optimism about potential pro-crypto policies.
Trump’s Influence on Bitcoin’s Price
On the campaign trail, Trump pledged to make the United States “the crypto capital of the planet.” His win has fueled Bitcoin’s rise, with its value climbing more than 80% this year alone. Trump supporters believe his administration will ease regulations on cryptocurrencies, benefiting the sector greatly.
Several other cryptocurrencies are also rising. Dogecoin, promoted by Trump supporter Elon Musk, is experiencing gains. The market is optimistic, with expectations that Trump’s policies will favor digital assets well.
Pro-Crypto Policies Expected
In the lead-up to the election, Trump shared plans to establish a strategic Bitcoin reserve and appoint crypto-friendly financial regulators. Many expect that he will remove regulatory restrictions that have slowed the industry’s growth. Trump’s first planned action as president is to replace the current chair of the Securities and Exchange Commission (SEC), Gary Gensler. Gensler, appointed by Joe Biden, has led a regulatory crackdown on crypto, which has stifled growth.
Market analysts anticipate that these moves could lead Bitcoin surging even higher. Matt Simpson, a market analyst at StoneX Financial, noted, “If the Trump administration deregulates crypto, it could push Bitcoin’s value close to $100,000.” However, he cautioned that investors should be aware and wary of potential volatility, as the market could still see significant sell-offs.
Trump’s Broader Economic Agenda
Trump’s broader agenda of tax cuts and deregulation is also sparking investor optimism. With Republicans potentially controlling both the executive and legislative branches, pro-business policies will likely advance more smoothly. This has driven a surge in multiple markets beyond crypto, with investors expecting growth-friendly legislation to pass swiftly.