Bitcoin prices climbed on Monday, continuing gains from the weekend after Republican presidential nominee Donald Trump hinted at favorable regulations during his address at the Bitcoin Convention.
Initially, Bitcoin’s reaction to Trump’s speech was lukewarm, as he stopped short of promising a national reserve. However, the market quickly rebounded, with Bitcoin rising 3.3% in the past 24 hours to reach $69,645.2 by 01:39 ET (05:39 GMT).
Trump’s Crypto Promises and the Race with China
During the Bitcoin Conference on Saturday, Trump emphasized the need for the U.S. to lead the global crypto market ahead of China, pledging to introduce more crypto-friendly regulations compared to Democratic frontrunner Kamala Harris. He proposed creating a crypto advisory council within the White House and establishing a national Bitcoin stockpile using government holdings, primarily seized through law enforcement.
“Never sell your bitcoin… If I am elected, it will be the policy of my administration, the United States of America, to keep 100% of all the bitcoin the U.S. government currently holds or acquires into the future,” Trump stated.
Trump, who once denounced cryptocurrency as a scam in 2021, has recently embraced the sector in his campaign. His campaign accepts crypto donations, and he has launched his own collection of non-fungible tokens. Additionally, Trump vowed to dismiss Securities and Exchange Commission Chair Gary Gensler, known for his stringent regulation of the crypto industry.
Election Impact on Crypto Regulation
Recent polls indicate a tight race between Trump and Harris, who has yet to detail her stance on crypto regulation. Given her background as a prosecutor with experience in financial fraud, it is likely that Harris would maintain the current government’s stringent approach to crypto.
Bitcoin’s price has benefited from speculation about a potential Trump presidency, rebounding sharply over the past two weeks from four-month lows. However, further gains remain uncertain as the defunct crypto exchange Mt Gox continues to mobilize its Bitcoin holdings for distribution.
Altcoins and Interest Rate Speculation
Broader cryptocurrency prices also advanced on the prospect of friendlier U.S. regulations and speculation over potential interest rate cuts ahead of a Federal Reserve meeting this week.
Ether, the world’s second-largest cryptocurrency, rose 4.8% to $3,375.63, buoyed by the launch of spot exchange-traded funds tracking the token last week. Other cryptocurrencies, including XRP, ADA, and SOL, saw gains between 0.8% and 6%. Among meme tokens, DOGE increased by 3.4%, and SHIB rose by 2.1%.
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