Nov 13 (Reuters) – Bitcoin surpassed the $90,000 mark on Wednesday, continuing its robust rally fueled by optimism that Donald Trump’s presidency could benefit cryptocurrencies. The leading cryptocurrency reached a new peak, climbing 5.49% to $93,158, reflecting a 32% increase since the November 5 election.
Ethereum, Bitcoin’s second-largest counterpart, also saw a significant rise of 37% since election day. Additionally, Dogecoin, a more volatile alternative token backed by billionaire Trump supporter Elon Musk, surged over 150%.
During his campaign, Trump advocated for digital assets, pledging to transform the United States into the "crypto capital of the planet" and to establish a national bitcoin reserve. While the specifics and timeline of these promises remain uncertain, the prospects have sparked speculative growth in crypto mining and stock trading.
Carl Szantyr, managing partner at digital asset hedge fund Blockstone Capital, stated, "Key areas to monitor include potential regulatory changes, increased institutional participation, and a rise in M&A activity. The new political landscape may bring clearer regulations for crypto assets and could prompt strategic developments, such as a national bitcoin reserve and growth in the mining sector."
MicroStrategy (MSTR.O), a software company and Bitcoin investor, announced it purchased approximately $2 billion worth of bitcoin between October 31 and November 10, driving its shares to a record high on Tuesday.
Crypto enthusiasts anticipate a reduction in scrutiny from the Securities and Exchange Commission (SEC) under Trump’s administration. In September, Trump and his sons launched a new crypto venture, World Liberty Financial. JPMorgan researchers noted in a Tuesday report, "President Trump’s re-election would allow him to appoint a new chair of the SEC, an agency that has arguably been stifling the crypto industry through ongoing legal actions and financial penalties over the past three years."
Funds tracking Bitcoin’s spot price, including BlackRock's iShares Bitcoin Trust (IBIT.O), rose nearly 4% on Wednesday.
