Source: CoinWorld
Author: Cyber Melon Farmer
Introduction: As the US election comes to an end, influenced by Trump, the Biden administration has also expressed friendly signals to the crypto market. As the world's number one superpower, the change in the US political attitude has brought new opportunities to the crypto market and BTC.
According to statistics, as of 2023, there are 420 million people using cryptocurrencies worldwide. Among them, about 27 million people in the United States use cryptocurrencies. For Americans, they prefer mainstream cryptocurrencies such as BTC and ETH, but in the past, there has been a blank in the global protection of users' crypto assets and the implementation of relevant regulatory policies. Considering the crypto market, perhaps in this presidential election, voters will expect a crypto president who is more open to crypto assets.
Competition between the incumbent president and the candidates
During this presidential campaign, former President Trump expressed his optimism about crypto assets and BTC in an uncharacteristic way. Although he had publicly expressed his aversion to BTC and other cryptocurrencies during his term in office, he has recently shown a full embrace of cryptocurrencies. Trump not only announced the issuance of NFTs through his social media site Truth Social, but also publicly promised to accept cryptocurrencies as campaign donations. All signs indicate that the former president needs more capital from the crypto market at this time. In the context of the development of the BTC bull market in 2024, Trump's transformation has undoubtedly injected a shot in the arm for the crypto market.
At the same time, the Biden administration appears to be gradually adjusting its attitude toward cryptocurrencies.
Although Biden did not explicitly express his support for cryptocurrencies during the campaign, in the face of Trump's positive attitude and the growing influence of the cryptocurrency community, the Biden administration began to show its close contact with the crypto market and publicly recruited MEME managers. This change in attitude may be due to the appeal to young voters and people of color, or it may be a recognition of the potential economic value of cryptocurrencies.
But no matter what, once the presidential election is confirmed, the president will fulfill his promises to voters after taking office. Among the many hot topics in the election, the crypto market, crypto assets, and BTC have become one of the hot topics in the US election.
US BTC mining companies become excellent investment targets, and the BTC market value is injected with new vitality
Against this backdrop, on the one hand, the BTC spot market has shown a positive growth trend.
Bijie.com reports that the BTC MVRV ratio has remained above 1 in the short term recently, which is a bullish signal. In addition, the growth in the number of BTC non-zero addresses, the increase in active addresses, the improvement in on-chain transaction data, and the high point of the total network computing power in the year all show the strong momentum of the BTC market.
On the other hand, due to Trump's public support and the Biden administration's change of attitude, the stock gains of BTC listed mining companies also reflect the market's optimistic expectations for the prospects of cryptocurrencies. With the fluctuations in BTC prices and changes in market sentiment, mining companies, as an important part of the cryptocurrency industry chain, often have a positive correlation with BTC prices. Investors' optimism about the cryptocurrency market has directly driven the rise of related stocks.
In fact, since 2024, the movements of listed mining companies have become the focus of capital attention. In particular, not long ago, former US President Donald Trump had a high-profile support for Bitcoin mining activities, which has driven the market's bullish sentiment towards mining companies. According to CompaniesMarketCap data, as of June 18, the total market value of 21 US listed mining companies has risen to US$28.8 billion.
From the perspective of the macroeconomic environment, the uncertainty of the global economy has increased the market's demand for safe-haven cryptocurrencies. Under the influence of monetary policy and inflation expectations, BTC's attributes as a decentralized asset have attracted more attention from investors.
In addition, the Bitcoin halving event every four years is also reducing BTC inflation. Starting this year, the 6.25 BTC per block will be reduced to 3.125 BTC, which will further increase the value of BTC.
Under the influence of the US political attitude, there have been many positive news related to BTC in the past six months.
Riding on this favorable trend, the cryptocurrency market is standing at a new starting point. With the gradual improvement of the policy environment and the continuous improvement of market awareness, the cryptocurrency market will also usher in a broader development space under the banner of BTC.
Let us wait and see how cryptocurrencies write their own chapter in the new political and economic landscape.
