Why The Bitcoin Price Is A ‘Good’ Indicator On US Election Day

As a seasoned crypto investor with a keen eye for market trends and a knack for deciphering political undertones, I find myself intrigued by the significance of Bitcoin’s price movement on this momentous US Election Day. Having witnessed the crypto space evolve from a niche curiosity to a mainstream contender, I can confidently say that the intersection of politics and cryptocurrencies has never been more apparent.


On U.S. Election Day, Bitcoin‘s price is aiming to surpass the $70,000 mark once more. After a short stint above this threshold, Bloomberg analyst Eric Balchunas shared his views on why this leading cryptocurrency might serve as a significant signal as the election commences.

Why Bitcoin Price Is Important On US Election Day

In a recent post on X, analyst Eric Balchunas from Bloomberg expressed his viewpoint that the price of Bitcoin could serve as a valuable benchmark during today’s US election, given that it was a topic discussed during the campaigns of Donald Trump and Kamala Harris.

In essence, Bitcoin and digital currencies have been a significant focus during this election campaign. Donald Trump has expressed his approval for Bitcoin and cryptocurrencies from the beginning of the year. Furthermore, he recently pledged to halt Kamala Harris’ fight against Bitcoin should he win the election.

Alternatively, it’s worth noting that Kamala Harris didn’t explicitly articulate her stance on cryptocurrency, even though she brought up the topic in connection with other matters.

Balchunas’ remark was made as Bitcoin reached $70,000 during the election period, and Bitwise CIO Matt Hougan concurred with this view. Both analysts have been of the opinion that Bitcoin seems to mirror Trump’s chances in some way.

It appears that the current situation aligns with the possibility, as per the recent Kalshi data, Donald Trump’s chances of winning the elections have risen to 60% on Election Day. This trend suggests a positive forecast for the leading cryptocurrency, given that Mr. Trump is considered pro-crypto.

Why The Bitcoin Price Is A ‘Good’ Indicator On US Election Day

BTC Doesn’t Care About The Winner But A Trump Victory Might Still Matter

Regardless of who becomes the next U.S. President, history demonstrates that Bitcoin’s value tends to flourish following each U.S. presidential election. Previously, the crypto market has consistently hit new record highs after these elections, and this trend seems unlikely to change in 2020, regardless of whether Donald Trump or Kamala Harris emerges victorious.

Nevertheless, even if Trump wins, his victory could significantly influence the crypto sector in various ways. As cryptocurrency expert Crypto Kaleo pointed out, the election outcome could steer the direction of the crypto market. Furthermore, the winner might have a substantial impact on where and how the crypto industry expands in the future.

Regarding cryptocurrency regulations in the U.S., the analyst offered this insight: Although the price of Bitcoin might not be influenced by the election outcome, the American crypto sector could experience significant adversity, particularly if the upcoming administration’s regulatory stance mirrors that of the Biden administration.

In the crypto community, it seems that Donald Trump is the preferred choice due to his pledge to dismiss Gary Gensler, the current SEC Chair, immediately upon taking office again.

Despite ongoing discussions about whether Trump can only dismiss Gensler rather than replace him, it’s clear that any move to demote the current SEC chairman would carry substantial weight. This is especially relevant given the SEC’s recent crackdown on cryptocurrency companies within the U.S., enforced through regulatory actions under Gensler’s leadership.

Due to the requirement for clear regulations, cryptocurrency companies such as Coinbase have been compelled to take legal action against the US Federal Deposit Insurance Corporation (FDIC). Notably, Coinbase has recently scored a significant victory in a Freedom of Information Act (FOIA) case. However, if Donald Trump were to return to office, these contentious court battles might no longer be necessary.

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2024-11-05 19:38