Bitcoin
Bitcoin surges as Trump optimism boosts cryptocurrencies after shooting
(Bloomberg) — Bitcoin jumped the most in three weeks after Donald Trump’s defiant response to an assassination attempt sparked speculation that the pro-crypto former president’s chances of winning reelection had improved.
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The largest digital asset rose as much as 4.9% on Monday to $63,000. Trump said he was shot in the right ear after a shooting at a Pennsylvania rally on Saturday, an episode that sparked global condemnation of political violence and rocked the U.S. presidential campaign.
Betting markets responded immediately by increasing the odds of a Trump victory, as he has portrayed himself as crypto-friendly in a bid to woo undecided voters. Bitcoin’s surge in the aftermath of the shooting mirrored its brief recovery following President Joe Biden’s disastrous debate performance against Trump in late June.
“The Republican party has been pro-crypto and the increased likelihood of a Trump presidency is a positive that is boosting crypto markets,” said Benjamin Celermajer, chief investment officer at Magnet Capital.
A key question in global markets now is whether the “Trump trade” will gain traction, based on the argument that his return to the White House would bring tax cuts, higher tariffs and looser regulations. Organizers of a bitcoin conference to be held in Nashville, Tennessee, on July 27 said he is still scheduled to speak at the event.
Bitcoin “gained momentum” after the assassination attempt bolstered Trump’s reelection chances, Tony Sycamore, a market analyst at IG Australia Pty, wrote in a note. The token was trading at $62,953 at 8:20 a.m. in London.
Proponents of the original cryptocurrency argue that it acts as a store of value and hedge against political upheaval, a controversial claim given its inherent volatility.
Meeting with miners
Trump met with Bitcoin miners in June and in a subsequent post on his Truth Social account said that Bitcoin mining could be “our last line of defense against a CBDC,” referring to a central bank digital currency. He added that he wants all remaining Bitcoin to be “MADE IN THE USA!!!”
The cryptocurrency sector is trying to bolster candidates seen as pro-digital assets, including through large donations to the Fairshake political action committee. The industry has emerged as an influential player in the 2024 election, in part to resist a regulatory crackdown led by the Securities and Exchange Commission.
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Trump’s campaign accepts donations in digital assets, and a person familiar with the matter previously said Trump has discussed cryptocurrency policy with billionaire Elon Musk.
Bitcoin hit a record high of nearly $74,000 in March, fueled by demand for dedicated U.S. exchange-traded funds. The token then fell amid subdued inflows, apparent sales of seized tokens and fears of divestitures by creditors of bankrupt exchange Mt. Gox.
–With the help of Ishika Mookerjee.
(Updates with Bitcoin price movement in first two paragraphs)
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