Bitcoin Surges Over $68K Following Biden News, Exciting Crypto Investors
Bitcoin experienced a surge, briefly surpassing $68,000, driven by optimistic U.S. election forecasts, before stabilizing around $67,500 in early Asian trading on Monday. This positive momentum extended to the broader cryptocurrency market, with the CoinDesk 20 index showing a 1.25% increase.
The decision by President Biden not to run in the upcoming election was viewed favorably by some traders within the digital asset industry, irrespective of the election outcome. This sentiment contributed to the bullish outlook among traders.
Bitcoin (BTC) saw a notable rise above $68,000 before retracing to $67,500 at the beginning of Asian trading on Monday, reflecting the prevailing bullish sentiment linked to the favorable U.S. election projections.
Other major cryptocurrencies also saw gains, buoyed by Bitcoin’s strength. Ether (ETH) briefly exceeded $3,500, while Cardano’s ADA and Solana’s SOL recorded gains of up to 5%. Dogecoin (DOGE) also surged by over 8% before moderating its upward movement.
The CoinDesk 20 (CD20), a comprehensive index tracking the largest crypto tokens excluding stablecoins, registered a 1.25% increase, mirroring the positive market sentiment.
The uptrend in Bitcoin’s value commenced late on Sunday following President Biden’s announcement of not contesting the upcoming November elections. This development resulted in a decrease in the odds for Republican candidate Donald Trump from 71% on Sunday to 65% on Monday morning in Asia on the crypto betting platform Polymarket. Conversely, the odds for Vice President Kamala Harris rose from 16% to 30%.
According to a note from Singapore-based crypto research firm Presto to CoinDesk, Biden’s withdrawal potentially sets the stage for a more favorable regulatory environment for the digital asset industry post-election, regardless of the election outcome.
Presto highlighted the increased likelihood of a constructive approach towards the digital asset industry by the U.S. government post-election, with a particular focus on the potential policy directions under different leadership scenarios.
Trump’s positive stance on cryptocurrencies has garnered significant support from industry participants in recent months. His scheduled appearance at the Bitcoin 2024 conference in Nashville later this week has further bolstered market sentiment.
Market analysts, such as Lucy Hu, senior analyst at Metalpha, anticipate a market rally driven by Trump’s economic policies favoring lower interest rates and reduced borrowing costs, which are expected to benefit risky assets like Bitcoin.
Hu also expressed optimism for Bitcoin’s continued upward trajectory until the 2025 election, reflecting a positive outlook for the cryptocurrency market in the mid to long term.
