Markets
Crypto stocks are soaring. It’s because of Trump, experts say
The attempted assassination of former US President Donald Trump at a campaign rally in Pennsylvania over the weekend has boosted cryptocurrency and cryptocurrency stock prices — and some experts say that’s because investors are betting on Trump.
Spotify launches podcast commenting
Two days after the assassination attempt, Bitcoin was up more than 10% in a week and more than 5% in a day, reaching around $63,000. Other cryptocurrencies followed in Bitcoin’s footsteps, with Ether, the second-largest cryptocurrency by market cap, up more than 10% last week, with a jump of more than 5% in a day. trading at $3,300. Other major cryptocurrencies like Solana and Dogecoin saw a value increase of 5.4% and 4.8% respectively, in just one day.
In a similar trend, stocks of cryptocurrency companies surged on Monday. By afternoon, shares of MicroStrategy, the largest corporate holder of Bitcoin that holds 1% of all Bitcoin in circulation, jumped more than 15% to trade at $1,609. Coinbase, the largest cryptocurrency exchange in the U.S., saw its share price rise more than 12%. Shares of Bitcoin mining companies Marathon Digital Holdings and Riot Platforms each rose more than 15%, and Hut 8 Mining rose more than 19%.
Pat Doylea Blockchain researcher at Amber datawrote in an email to Quartz that Trump has emerged as a leader in the crypto space, and the market’s reaction is quite evident. “The market’s response to the recent failed assassination attempt underscores investors’ strong confidence in Trump’s prospects of winning the upcoming election,” he said.
In this election year, Trump declared himself a “crypto candidate” at a gala in Mar-a-Lago and announced that he would accept donations in Bitcoin, Ether, Dogecoin, Solana and other cryptocurrencies. He no longer considers cryptocurrency a scam as he did in the past.
According to Sam Callahana senior analyst at financial services firm Bitcoin Bitcoin SwanThe Republican Party’s pro-Bitcoin stance has benefited the crypto market and cryptocurrencies in general. It has its sights set on the upcoming Bitcoin Conference, where Trump will speak for the first time.
“If Trump talks about Bitcoin’s potential as a treasury reserve asset, this could be a landmark moment for Bitcoin adoption in the US,” he wrote in an email.
Cryptocurrencies and Trump are very much aligned right now, and there is no doubt that cryptocurrencies will be a key player in this election. The assassination attempt on the former president is seen as increasing the Republican candidate’s chances of winning the presidential election. The crypto community is excited because they believe it will be beneficial if Trump is elected. The primaries, national conventions, and presidential debates will also play a significant role in determining how the crypto community will react.
About that, PredictIt, an online betting site, has increased bets on Trump’s election victory from 60 cents to 67 cents on Friday, while Joe Biden’s odds were at 27 cents.