Will Bitcoin Hit $100K After Donald Trump Wins US Election

Key Takeaways

• In line with market forecasts, Donald Trump defeated Democratic candidate Kamala Harris to win this year’s presidential election.
• Following Trump’s win, the price of Bitcoin jumped 9.6% to a record high of $75,198, while Ethereum saw an 8% increase.

On Wednesday, as crypto investors rejoiced over Donald Trump’s US election triumph, the price of the original cryptocurrency, Bitcoin, reached a new all-time high of $75,060. Trump defeated Democratic candidate and 49th US vice president Kamala Harris in this year’s presidential election, according to the Stand With Crypto report.

Several key battleground states have awarded Trump electoral votes, including North Carolina, Georgia, Texas, Florida, and Pennsylvania. In addition to Virginia, Kamala Harris also captured California and New York. On one hand, the president has promised to turn the US into the global leader in bitcoin and cryptocurrencies. On the other hand, he has appointed tech magnate and right-wing conspiracy theorist Elon Musk to head an investigation into wasted government spending.

Trump was the 45th president of America, holding the office from 2017 until 2021. Investment in high-growth assets, such as bitcoin, was encouraged by the increased market liquidity brought about by corporate tax cuts that he enacted during his prior administration.

Trump announced in September that he, his sons, and other businesspeople will be developing World Liberty Financial, a platform for digital money. One major feature of the platform will be the ability to borrow and lend cryptocurrencies.

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Will Bitcoin Hit $100K After It Hits Record High of $75,000?

With Bitcoin’s rise propelling the prices of several altcoins higher, the future of cryptocurrency has never looked brighter than it does now. Solana witnessed an astounding 15% spike to $186, while Ethereum (ETH) climbed 8% to $2,595.

A 22% price jump occurred during the elections for Dogecoin (DOGE), a cryptocurrency renowned for its devoted community. This was due to a substantial increase in social media engagement and trading volume. Many in the cryptocurrency industry are hoping that Donald Trump would follow through on his campaign promise to fire Gary Gensler, the chair of the Securities and Exchange Commission who has taken a lot of heat from the crypto community.

Many cryptocurrency companies have been hit by legal action by the SEC. These include ConsenSys, Ripple Labs, Coinbase, Kraken, and Crypto.com. There is a bearish trend seen in Bitcoin’s price, which is currently trading between $73,000 and $75,000. The market capitalisation of Bitcoin also increased by 7.58%, reaching $1.46 trillion, alongside the price change.

With a 143% increase, Bitcoin’s trade volume has reached $101 billion, a sign of greater activity on the network. Given the possible impact of Donald Trump’s victory on market mood, it is possible that Bitcoin might soon hit the $100,000 milestone if all of these elements come together.

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Should I Buy Bitcoin Now?

Now that Trump is president, the future of cryptocurrency seems brighter than it has in years past.

Even if bitcoin prices are at an all-time high, Peters says now might be a good moment to invest.

The price of bitcoin has never fallen back below its value on election day after the results were announced, he noted, referring to past presidential elections. Historically, following this, prices have gone through the roof.

If the United States were to accept bitcoin as a reserve asset for strategic purposes, it might be a huge boon for the cryptocurrency’s value.

Because there is a finite amount of bitcoin for sale, other countries may be hesitant to embrace a bitcoin treasury strategy until they’ve seen the price drop.

Furthermore, developed-world inflation rates are starting to decline back to target levels, which could provide a favourable climate for the cryptocurrency industry.

According to Goodman, “Bitcoin’s price has so far moved in four-year cycles and we’re now entering the third year, where the price tends to rocket.” Now that Trump is in office, everything is set up for a major rally in the months to come.

After the initial excitement wears off, a price increase is by no means assured if Trump’s crypto policies turn out to be less than stellar. However, everything points to a great future.

Given the high level of uncertainty around cryptocurrency investments, Peters advises that people should only put their money into crypto assets to the extent that they can afford to lose.

A preferable technique to investing, he suggested, would be dollar-cost averaging, which involves investing little amounts at regular periods, rather than going “all-in” and purchasing at one price level. This would eliminate some of the timing risk.

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