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    Bitcoin Tests $75k All-Time-High on Election Day as Republican Donald Trump Heads to the White House as the 47th Elected U.S. President

    By the end of the U.S. trading session on November 5, BTC's momentum carried it to a new all-time high of $75,000.85 on Coinbase...

    Updated Nov 06, 2024
    Ayanfe Fakunle

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    Ayanfe Fakunle

    Bitcoin Tests $75k All-Time-High on Election Day as Republican Donald Trump Heads to the White House as the 47th Elected U.S. President

    On November 6, BTC jumped to a historic peak of over $75,000, outdoing its past record of $73,800 set in March. The rally was fueled by investor excitement around early results from the United States presidential election, which indicated former President Donald Trump held an early lead.

    The rally began at the New York stock market opening, with Bitcoin initially showing strength and climbing over 3% to reach an intra-day high of $70,577. This ascension in BTC’s value mirrored the heightened market volatility triggered by the election.

    By the end of the U.S. trading session on November 5, BTC’s momentum carried it to a new all-time high of $75,000.85 on Coinbase. This price was recorded at 3:08 a.m. UTC on November 6, according to data from TradingView.

    Election Results and Market Sentiment

    As of 3:30 a.m. UTC today, results from the Associated Press showed Trump ahead, with 198 electoral votes compared to Vice President Kamala Harris’s 112. Candidates need 270 electoral votes to secure the presidency, and Bitcoin’s surge seems to image investor sentiment favoring Trump’s policies on crypto.

    Trump was leading Harris in early results, but many states on the West Coast and important battleground states hadn’t been decided yet. Source: AP

    But based on the most current figures, below (image) are the stats.

    Bitcoin’s price, as of writing, stands at $74,339, sketching a 7.2% uprise in the past 24 hours.

    But shortly since, the stakes are even higher with Polymarket forecasting an all-out win for Trump in all swing States.

    Year-Long Speculation and Policy Implications

    Throughout 2024, market analysts have held that a Trump victory could be beneficial for Bitcoin, given the positive stance that Republicans have taken toward the cryptocurrency industry. Both Republican and Democratic candidates have progressively developed their policy views on digital asset regulation, but traders appear particularly optimistic about the industry’s future under a Trump-led administration.

    Bitcoin analyst Tuur Demeester suggested on November 5 that election news favoring Trump has played a significant role in Bitcoin’s upward momentum.

    The upward movement in Bitcoin’s price aligns with Trump’s rising odds in decentralized prediction markets, such as Polymarket. On November 6, Bitcoin surged past $70,000 as Trump’s odds of winning climbed above 80%, while Harris’s chances dropped below 21%.

    Volatility Expected Post-Election

    Despite Bitcoin’s new peak, traders anticipate ongoing volatility following the election. November 4 saw significant outflows from Bitcoin spot ETFs, with $541.1 million in withdrawals across prominent funds like Fidelity, ArkInvest, Bitwise, and Grayscale. However, BlackRock’s IBIT ETF attracted $38.3 million in inflows, suggesting mixed investor sentiment.

    Bitcoin ETF flows ($USD million). Source: Farside Investors

    The options market has also seen notable activity, reflecting a cautious approach among traders. Pelion Capital founder Tony Stewart highlighted the protective measures taken by investors, indicating expectations of potential price swings.

    Cointelegraph options analyst Marcel Pechman further explained, “Traders are generally bullish, especially for dates like November 7, 15, and 29. New bets are mainly positioned at prices between $72,000 and $75,000 or higher. However, the purchase of $64,000 puts shows some underlying concern, as market makers face increased risk if Bitcoin falls, having sold puts at these lower levels.”

    With the news of the Trump victory trumping most media channels and raising multiple comments from crypto bigwigs like Brian Armstrong of Coinbase, BTC, and of course, by extension, the cryptocurrency market is on for something spectacular, all things considered.

    In summary, Bitcoin’s recent performance underscores the cryptocurrency market’s sensitivity to U.S. election developments, with volatility expected to persist as the election results continue to unfold.

    Ayanfe Fakunle

    Ayanfe Fakunle

    Editor

    Ayanfe Fakunle is an expert content writer, journalist, and editor at the intersection of crypto, finance, and web3. His mission is to make crypto accessible, engaging, and exciting for everyone.

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