Bitcoin surged to a record high of $80,000 on Sunday, fueled by investor speculation that former President Donald Trump’s potential return to the White House could bolster the cryptocurrency market. The milestone was reached just after 12:00 pm (1200 GMT), marking Bitcoin’s highest value in its history and reflecting a wave of optimism among crypto traders.
The digital currency has been on an upward trajectory since Trump won last Tuesday’s presidential election, with investors anticipating that his pro-crypto stance could lead to favorable regulatory changes for the sector. In the days following the election, Bitcoin surged past $75,000, breaking its previous peak of $73,797.98, which was set in March.
“The odds that Bitcoin and crypto will become a significantly larger asset class have risen markedly,” said Charles Morris, an analyst at investment company ByteTree.
Analysts now predict even higher valuations for Bitcoin, with some targeting $100,000 as the next major threshold. “We shouldn’t expect this bullish trend to be interrupted for a long time — about a year. The next level for me is $100,000,” Stephane Ifrah, CEO of French crypto asset management firm Coinhouse, told AFP.
Trump’s appeal among crypto supporters stems from his recent transformation into a vocal advocate for digital currencies. Though he once dismissed cryptocurrencies as a “scam” during his first presidency, Trump has since rebranded himself as a proponent of the industry. His campaign included promises to make the United States the “bitcoin and cryptocurrency capital of the world” and a pledge to have tech mogul Elon Musk lead a sweeping review of government spending, which he claims will benefit cryptocurrency and tech innovations.
Earlier this year, Trump and his sons launched a digital currency platform called World Liberty Financial, though its debut faced challenges, with only a limited number of tokens sold during the initial offering. Nevertheless, Trump’s support for crypto has continued to energize the market, with his recent use of Bitcoin in a high-profile purchase — reportedly for burgers at a New York City restaurant — making headlines as a “historic transaction.”
Bitcoin’s meteoric rise is occurring amid a renewed spotlight on the volatile cryptocurrency sector, which has experienced dramatic highs and lows, from surges in value to high-profile crashes, such as the collapse of the FTX exchange platform.
Crypto enthusiasts and investors alike are now watching closely to see if Trump’s presidency could bring about regulatory changes that would reinforce Bitcoin and other digital assets as a mainstream investment.
