Political developments fueled overnight surges in bitcoin to an all-time high. The flagship cryptocurrency hit a record $75,000, according to Coin Metrics, after climbing 7% from its previous peak of $73,797 in March. Bitcoin hits all-time high after trading in a tight range below $70,000 for much of the year.
Bitcoin hits all-time high, what will happen if Kamala wins election?
This came when Donald Trump has led some of the key Electoral College states, having already claimed North Carolina, Georgia, and Pennsylvania. For investors, Bitcoin is good news if a Donald Trump win is materializing; any win for Kamala Harris, however, has been expected to put downside pressure on the cryptocurrency. And it does indeed seem to follow that pattern since election cycles where cryptocurrency was usually rallying post-election.
Bitcoin hit an all-time high on Tuesday as analysts said similar uptrends in previous elections were influenced by major actions from the Federal Reserve and Bitcoin’s periodic “halving” events, which decrease its supply.
The largest cryptocurrency exchange operator, Coinbase, whose shares jumped 15% in after-hours trading on Robinhood, indicated a bullish sentiment over Bitcoin’s overnight gains. Analysts expect a spiky volatility in the cryptocurrency market until election results are final and it is believed to shift either way.
Experts give their opinion on Bitcoin surge
“This election is going to be the most impactful for the crypto industry,” said Ryan Rasmussen, head of research at Bitwise Asset Management. “Many in the industry view Trump as pro-crypto, positioning Bitcoin as a hedge against inflation and a weakening dollar.” Investors are increasingly viewing Bitcoin as a safe haven similar to gold in response to fiscal concerns and government deficits. Bitcoin touches new all-time high as investors take the wait-and-see attitude ahead of an election and prepare for any price shifts likely to be associated with election results.
Crypto Valley Exchange CEO James Davies commented, “the market is ready for short-term volatility.” He further reported a cautionary mindset among leading traders, which is now all set to react in quick time towards election news. As Bitcoin hits all-time high, the cryptocurrency world waits for further market movement tied to the political landscape.
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