The cryptocurrency market has witnessed an extraordinary rally following Donald Trump’s victory in the recent US Presidential election. Bitcoin, the leading cryptocurrency, has surged by an impressive 26.55% over the past week, with its price touching $89,900 (approximately ₹75.9 lakh) in the last 24 hours. As of now, Bitcoin is trading at $87,675 (around ₹73.9 lakh). This surge also pushed the total market cap of the crypto sector past $3 trillion (₹2,53,13,310 crore) for a brief period, marking a historic milestone for the industry.
What’s Driving Bitcoin’s Meteoric Rise?
The market’s optimism stems from President-elect Trump’s pro-crypto stance during his campaign. The 78-year-old, set to become the 47th President of the United States, promised significant reforms that have invigorated investor confidence.
Key pledges from Trump’s campaign include:
- Replacing SEC Chair Gary Gensler: Trump intends to appoint a crypto-friendly candidate, a move expected to ease regulatory pressures on major crypto firms like Coinbase and Binance.
- Making Bitcoin a Reserve Asset: He proposed elevating Bitcoin’s status to that of gold, potentially revolutionizing its role in global finance.
- Eliminating Crypto Taxes: By suggesting tax exemptions for crypto transactions, Trump aims to attract more investors to the market.
- Promoting Self-Custody: Advocating for secure, self-managed digital wallets could mitigate risks of exchange hacks and bolster investor trust.
These promises have painted a promising future for the virtual digital assets industry, driving enthusiasm across the crypto ecosystem.
Crypto Community Reacts to Trump’s Win
Market analysts and industry leaders have welcomed the rally with optimism. Vishal Sacheendran, Head of Regional Markets at Binance, noted that Trump’s crypto-friendly policies could lead to progressive regulations, creating a favorable environment for both institutional and retail investments.
ZebPay COO Raj Karkara highlighted Bitcoin’s dominance at 58.25%, underscoring its central role in the crypto market. ZebPay has reported a 55% increase in trading volumes in the last 24 hours, driven by Bitcoin’s surge and heightened activity in altcoins.
Caution Amid Volatility
Despite the bullish momentum, experts urge caution. The crypto market remains highly volatile, with many altcoins trading sideways. Investors are advised to exercise due diligence and stay informed about market developments before making trading decisions.
Conclusion
Donald Trump’s return to the White House has sparked a wave of optimism in the cryptocurrency market, with Bitcoin nearing an unprecedented $90,000 milestone. His promises to foster a crypto-friendly environment have instilled confidence among investors, signaling potential long-term growth for the sector. However, as with any volatile market, caution is key for those looking to capitalize on this rally.
