It has been a few days since the results of the U.S. presidential election were finalized, but the global cryptocurrency market is still basking in the joy of Trump's victory. On Sunday, cryptocurrencies continued to rise, with Bitcoin, the largest and most well-known cryptocurrency, hitting $80,000 for the first time in history. On Monday morning, the price of Bitcoin continued to climb, briefly surpassing $81,000 during trading.
According to Coindesk data, the price of Bitcoin is currently up 4.81% to $80,358.72, having reached a high of $81,454.61 in the past 24 hours.
The price of Bitcoin has more than doubled from the year's low of $38,505 on January 23. Since Election Day, the price of Bitcoin has increased by nearly 20%. Optimism has also boosted small-cap tokens, which are more volatile. The price of Ripple rose by 11% on Sunday. Dogecoin and Shiba Inu surged by 17% and 31%, respectively. Dogecoin is one of the favorite tokens of Trump supporter Elon Musk.
Last week, Trump swept seven battleground states in the U.S. His decisive victory in the presidential election triggered cheers in the digital asset industry, which spent over $100 million supporting a range of cryptocurrency-friendly candidates.
"Trump has been courting the cryptocurrency industry this year, promising several measures to support cryptocurrency during his campaign, such as incorporating Bitcoin into the national reserve, making the U.S. the world's cryptocurrency capital, and appointing regulators interested in digital assets, among others. Trump's stance contrasts sharply with President Biden's crackdown on digital assets.
Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), has repeatedly criticized the cryptocurrency industry for being rife with fraud and misconduct. "Cryptocurrency is about to enter its golden age," said Alex Thorn, head of research at Galaxy Digital, in a research report last Friday. "Trump has promised to make the U.S. the 'world's cryptocurrency capital,' and many of his senior team members are staunch supporters of cryptocurrency... His team, family, and donors all support cryptocurrency, which increases the likelihood of Trump fulfilling his campaign promises.
"In addition, major financial institutions, including BlackRock, have increased their Bitcoin holdings. BlackRock's iShares Bitcoin Trust has accumulated approximately $16.9 billion worth of Bitcoin, indicating sustained institutional demand. Stocks linked to cryptocurrency prices have also been boosted. Cryptocurrency exchange Coinbase rose 48% last week, marking its best single-week performance since January 2023. Coinbase is one of the largest corporate donors in this election cycle.
Is $100,000 in sight?
As Bitcoin prices continue to soar, some analysts are beginning to predict that the cryptocurrency may break through $100,000 this year. CoinShares research director James Butterfill recently stated that with Trump's victory and the Republican majority in the Senate, pushing for an 'expected easing regulatory framework' will become easier, making it 'possible now' for Bitcoin to reach $100,000—which means a 33% increase. Standard Chartered's global head of digital asset research, Geoff Kendrick, believes that after Trump's victory, Bitcoin's price will reach $125,000 by the end of this year and $200,000 by the end of 2025.
