The United States of America is the greatest country in the world. They’re definitely the No. 1 in terms of arms and influence. So, it’s no wonder that the US election has influenced the financial markets. Many of you probably didn’t know that the cryptocurrency market has already started to reap the benefits of Donald Trump being chosen as the next US President. The reason behind this type of digital currency market reaction is that it’s expected that the new administration will be crypto-friendly.
This past Wednesday, the worth of Bitcoin rose to the record value of $93,000. Cryptocurrency investors are obviously fans of Donald Trump, and their faith in the re-elected president is reflected in the value of the most valuable crypto in the world. Seeing BTC rise in value is not a surprise if it was an isolated case because BTC always manages to retain and increase its value despite global happenings. What’s surprising, and maybe not if you’ve been following the situation closely, is the spike in the value of Dogecoin.
Dogecoin has an exciting history, as its first spike in value was closely tied to Elon Musk. Software engineers Billy Markus and Jackson Palmer made Dogecoin the first meme coin to make fun of the instability tied to the cryptocurrency market. Luckily for them, the coin attracted the attention of the Tesla owner early on, and it has only grown in worth since.
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Friday 27 Dec. 2024
The reason why it’s spiking in value post-US election is also connected to Elon Musk. As you know, Elon Musk was one of Donald Trump’s biggest supporters during this election cycle. His bet paid off, and now, he will be a part of Donald Trump’s administration. Elon Musk and Vivek Ramaswamy will lead an advisory group called the Department of Government Efficiency (Doge). A fitting name, which was already tied to the name of Dogecoin, helped the crypto grow together with Bitcoin in the days post-election. The influence of the Trump/Musk coalition on Dogecoin is so vast that its value increased by 150%. As far as BTC is concerned, it has surged by more than a third since Donald Trump won over Kamala Harris on November 5th.
Everything happening right now regarding digital currencies is simple to explain. Many of Trump’s top supporters, such as the X owner, Elon Musk, have close ties to the world of digital currencies. The industry is volatile, but it is entering an age of stability followed by Trump’s win, and his loyalists, such as Musk, will release the crypto dividends in the coming months. Another important name in the entire story is Howard Lutnick. He serves as a co-chair of Trump’s transition team and is the CEO of Cantor Fitzgerald. For the crypto industry, he is known as a prominent and vocal advocate, and as such, it is expected that due to his influence, the sector will be blessed with favorable policies, as many of the people who will in the future be appointed into Trump’s economic team have crypto-friendly views. If you want to have a crypto-friendly read in the future you can do so at Bitcasino’s news and blog.
To continue with our subject, under the Joe Biden administration, the crypto industry fought valiantly against their efforts to regulate cryptocurrencies. While crypto is not per se illegal, it does operate in the legal gray area. It is a well-known fact that the current head of the Securities and Exchange Commission, Gary Gensler, was seen as an opponent of cryptocurrencies.
The entire industry came under scrutiny after FTX and Binance fell. Both companies were massive and well respected in the world of digital currencies. Their good name disappeared after discovering that their executives, led by FTX’s Sam Bankman-Fried, had been involved in massive-scale fraud directed at their investors.
While this was a big hit to all pro-crypto people, they didn’t sit idle. Instead, they backed up Donald Trump with their weight and wallets and are now on the hunt for all lawmakers who were unfriendly toward the industry. Another interesting development already happened regarding the advancement of the acceptance of crypto even before Donald Trump’s win. In Ohio, Sherrod Brown, a Democratic senator, lost his re-election campaign to Bernie Moreno, a well-known blockchain entrepreneur.
Furthermore, Trump’s re-election boosted the majority of people already deep into the crypto bubble. One of them, Ripple CEO Brad Garlinghouse, was quick to boast. During an interview with the New York Times, he stated that now that Biden is gone, the war on crypto is ending and that we’re talking about good news for America.
Having put Musk and Ramaswamy in the positions they are now is a clear signal of just how influential Elon Musk is going to be during Trump’s second term as if he hasn’t been influential enough on his own as an owner of Tesla, X Space, and X. According to Donald Trump’s words DOGE is going to serve as advisory and guidance assistance to the White House’s Office of Management and Budget. In his words, this office will serve the White House by creating an entrepreneurial approach the government hasn’t seen in its history.
For all people who love social media and reality programs, Musk has some good news. The Tesla owner shared on his X platform that every action his new department takes will be documented online. Will this prove to be a good approach or an unnecessary one? What’s evident now is that the world of cryptocurrencies is already benefiting from the new people in charge, which wasn’t the case in the last four years during Biden’s administration.
