Bitcoin soared to its highest level since mid-June, approaching $70,000, spurred by Donald Trump’s expanded pro-crypto stance and increasing optimism over potential interest rate cuts by the U.S. Federal Reserve.
On Monday, Bitcoin climbed as much as 2.7%, trading at $69,645 as of 7:08 a.m. New York Times. The surge also positively impacted smaller cryptocurrencies, including Ether, Solana, and the meme favorite Dogecoin, all of which saw gains.
Trump, the Republican presidential nominee, made headlines over the weekend with his ambitious pro-crypto agenda. At a conference in Nashville, Trump pledged to establish the U.S. as the “crypto capital of the planet and the Bitcoin superpower” if he is re-elected in November. He also proposed using crypto seized from criminal cases to build what he described as a strategic Bitcoin stockpile, rather than selling the assets.
This speech has positioned Bitcoin as a significant “election trade,” according to Chris Weston, head of research at Pepperstone Group. The renewed focus on cryptocurrency as a key political issue has added momentum to Bitcoin’s recent rally.
Additionally, market sentiment has been buoyed by expectations of a forthcoming rate-cutting cycle by the Federal Reserve. The Fed’s upcoming meeting is anticipated to set the stage for interest rate reductions, which has further encouraged investor enthusiasm across various asset classes, including cryptocurrencies.
Bitcoin’s recent rise brings it close to its record high of nearly $74,000 reached in March. This year, dedicated U.S. exchange-traded funds (ETFs) investing in Bitcoin have contributed to the digital asset’s growth.
As Bitcoin nears $70,000, the intersection of political developments and economic expectations continues to shape its trajectory, highlighting its growing influence in both financial and political arenas.
