The US election on Wednesday caused major shifts in financial markets, with Donald Trump’s win pushing Bitcoin to a new record high of $75,255. Stocks and other cryptocurrencies also saw sharp increases in value. Trump’s support for crypto and his pledge to make the US a “Bitcoin superpower” led to a 10% rise in digital assets.
According to a report from Reuters, crypto investors had been eagerly awaiting the presidential election, believing that a victory for Trump would be beneficial for Bitcoin and other digital assets. Trump’s victory had a significant impact on the stock market as well, with stock futures moving up strongly. The S&P 500 rose by 1.1% and the Dow Jones gained 1.3%. Bond yields also increased, with 10-year Treasury rates climbing to 4.4% from 4.28%.
Peter Esho of Esho Capital stated, “The markets are scrambling to figure out what happens next, but for the time being, the market is pricing in a higher growth and higher inflation outlook.” Crypto investor Nic Carter also weighed in, stating, “All of the libs clutching their pearls about the pro-crypto lobby were right. We are to be feared. We will do it again next cycle.”
The rise in Bitcoin sparked gains across the crypto markets, with Dogecoin jumping 30%, Uniswap growing by 23%, and Solana, Cardano, and Shiba Inu each rising by 10-15%. The total crypto market value grew by 11% to $2.5 trillion, and trading volume increased by 77% to 138.48 billion in 24 hours.
Trump’s crypto vision and campaign promises were also highlighted, as he spoke at the Bitcoin 2024 conference in Nashville, promising to create a Bitcoin reserve and remove SEC Chair Gary Gensler. His campaign received strong backing from the crypto industry, with the Fairshake PAC collecting “more than $162 million” from Coinbase, Ripple, and Andreessen Horowitz.
In response to the US election results, Asian markets had mixed reactions, with Japan’s Nikkei 225 rising by 2.6% and Hong Kong’s Hang Seng dropping by 2.6%. Anderson Alves of ActivTrades noted, “Positive outcomes for Harris are expected to boost Asian assets, while Trump gains may exert downward pressure.” CoinDCX co-founder Sumit Gupta highlighted that “Bitcoin’s consistent upward trajectory underscores its resilience and enduring appeal as a long-term asset.”
Overall, the US election spurred a surge in stocks and crypto markets, with Trump’s victory leading to significant gains in digital assets and positive reactions in the financial markets.