Bitcoin (BTC) just jumped over 10%, hitting an all-time high of $80,039. This rise seems tied to news of Donald Trump’s strong showing in the U.S. election, with Trump currently leading with 198 seats compared to Kamala Harris’s 112, according to the Associated Press. Many investors are hopeful due to Trump’s crypto-friendly stance, which has boosted both Bitcoin and several other cryptocurrencies.
As election updates come in, the crypto market has seen lots of activity. Other major cryptocurrencies like Ethereum (ETH), Solana (SOL), Chainlink (LINK), and Avalanche (AVAX) gained between 7% and 15%, while Dogecoin (DOGE) soared 29%. Market sentiment tracker Polymarket showed a spike in Trump’s odds of winning to 88%, a shift analysts believe is driving Bitcoin’s climb.
Some financial analysts and institutions are now predicting even higher prices for Bitcoin. Bernstein, a major firm, believes Bitcoin could reach $90,000, and some forecasts even estimate a rise to $200,000 by the end of 2025. Fredrick Collins, CEO of VeloData, noted that Bitcoin is “one of the top choices for trading around election events,” as enthusiasm builds alongside Trump’s rising chances.
The rapid rise in Bitcoin’s value has led to a surge in trading activity, with $350 million in short liquidations (or forced sales from losing bets) reported in just one hour, according to data from Coinglass. Bitcoin’s dominance in the crypto market has also climbed over 60%, although popular crypto analyst Benjamin Cowen expects this trend to level off in the coming weeks.
Meanwhile, the Federal Reserve might announce a 0.25% rate cut soon, which could add more cash flow to the market and potentially boost crypto prices even further. Matt Hougan, CIO of Bitwise, pointed out that Bitcoin, Ethereum, and stablecoins are showing strong resilience, adding that “Washington can’t stop crypto,” no matter how the election plays out.
As election results and economic decisions continue to unfold, investors are watching the Federal Reserve’s moves and election updates closely to see how they’ll impact the crypto market.
