The world’s largest cryptocurrency, Bitcoin, rose 7% to hit $75,060, surpassing its previous peak from March. Investors believe Trump’s potential White House return could signal a shift toward softer cryptocurrency regulations.
In early election results, Trump secured victories in 15 states, while Democrat Kamala Harris captured seven states and Washington, DC, according to projections from Edison Research. Although the overall race remains too close to call, Asian markets responded by factoring in a possible Trump victory.
Matthew Dibb, chief investment officer at cryptocurrency asset manager Astronaut Capital, noted that markets expect a change at the US Securities and Exchange Commission (SEC) that would remove obstacles to crypto innovation.
“(A) Democrat win would have felt like a short-term nail in the coffin,” Dibb said, acknowledging that long-term prospects might differ but that markets are placing high importance on the outcome.
The rally extended beyond Bitcoin, with ether, the second-largest cryptocurrency, climbing 7.5% to $2,593. However, it remains far below its 2021 peak of $4,867.