Bitcoin hits record high on Trump election boost

Bitcoin hit a record high of $81,899 on Monday, as crypto markets rallied on hopes of favourable regulations following the election of Donald Trump as US president.

The cryptocurrency, which has now more than doubled from its 2024 low of $38,505, gained momentum as investors anticipated a pro-crypto stance from the incoming administration. Trump has pledged to position the US as the “crypto capital of the planet” and accumulate a national bitcoin reserve.

Market analysts attribute bitcoin’s rise to investor optimism that Republican control in Congress may ease regulatory scrutiny on digital assets. In particular, Trump’s stated plans to remove US Securities and Exchange Commission Chair Gary Gensler, seen as a strict crypto regulator, have boosted the sector.

The crypto industry has also seen success in supporting pro-crypto congressional candidates across key states like Ohio and Michigan.

Gains extended beyond bitcoin, with Ethereum topping $3,200 for the first time in months and Dogecoin reaching a three-year high. Adding to the momentum, billionaire Elon Musk, a vocal crypto advocate, remains a key Trump ally, and Eric Trump is set to speak at a bitcoin conference in Abu Dhabi next month.

Attribution: Reuters

Subediting: M. S. Salama