With the US presidential election, the cryptocurrency market experienced one of the most active days in its history. Bitcoin, $75,000$BTC
While reaching a historic peak by exceeding its level, one of the most important factors behind this rise was Donald Trump's 88% chance of victory and his promises regarding cryptocurrency-friendly policies. With Trump leading in the election, there was also a significant increase in meme coins. Especially Dogecoin (DOGE), 28%$DOGE
also attracted attention with a one-day increase.
This movement in the crypto market has reinforced investors’ confidence that Trump will create a crypto-friendly environment. Analysts state that the price of Bitcoin could rise rapidly to $90,000 with this wave of confidence. According to some estimates, it is even possible for Bitcoin to reach $200,000 by 2025. Frederick Collins, CEO of crypto data platform VeloData, commented, “Trump’s lead is rapidly triggering Bitcoin prices. Therefore, Bitcoin is currently becoming an attractive option for investors looking for volatility.”
Bitcoin’s Record High and $350 Million Liquidation
After the Bitcoin price reached a historic peak, $350 million worth of short positions were liquidated in the crypto market. In addition, Bitcoin’s market dominance is showing a new direction by rising above 60%. Cryptocurrency analyst Benjamin Cowen hinted that the rise could continue by saying, “I expect Bitcoin dominance to peak in the coming weeks.” After the strong rise in October, Bitcoin ETFs saw three consecutive days of outflows. On Monday, $541 million was recorded, marking the second-highest outflow in Bitcoin ETF history.
“It is nearly impossible for Washington to block crypto,” said Bitwise CIO Matt Hougan, noting that Bitcoin, Ethereum, and stablecoins will continue to grow regardless of the election results.
FOMC Meeting and Fed Rate Decision
On the other hand, the upcoming Federal Open Market Committee (FOMC) meeting is also eagerly awaited in the markets. The US Federal Reserve is expected to cut interest rates by 25 basis points. “A total of 50 basis points in November and December is almost certain,” said Steven Blitz, chief US economist at TS Lombard. This decision is expected to have a positive impact, especially on the crypto market.
The FED’s interest rate cut decision could lead to significant movement in Bitcoin and the cryptocurrency market in general. The combination of uncertainties stemming from the US elections, Trump’s pro-crypto promises, and central bank decisions could pave the way for a new bull run in the crypto market in the coming period.