In a boost to the global cryptocurrency market, the price of Bitcoin recovered from its recent downfall.
It reached a six-week high on Monday after the Republican candidate Donald Trump extended his resolve to support cryptocurrencies if he is re-elected as the US President. He was talking at the Bitcoin Conference in Nashville.
Donald Trump reaffirmed his commitment to uplift the American cryptocurrency market. He promised he would end the persecution against cryptocurrencies once he became president.
He was referring to the strict bans enforced by the US Securities and Exchange Commission (SEC) under the Biden government.
Trump is always viewed as a leader who supports the crypto movement and his reassurances to support decentralization is a ray of hope for the American financial system.
Trump’s words are critical given the coldness of Kamala Harris, his opponent, on matters concerning cryptocurrencies. Harris had backed out from speaking at the Nashville conference, going back on her initial consent to take part in the event.
Trump, who himself has invested in the decentralized market, is seen as a liberalist who will adopt these digital currencies.
The price of Bitcoin, the largest cryptocurrency in terms of market capitalization, rose to $69,745 on Monday, which was a 3% high when compared to the previous day’s price. It was an instance of a price rise for Bitcoin after it reached $69,800 on June 12 this year.
Trump said that as soon as he assumes the role of American President he will sack the head of the US SEC Gary Gensler for his strict regulatory hold of the US cryptocurrency market, which was met with cheers by the audience.
Gensler is known for his skepticism about cryptocurrencies even though he has contributed to the sector by approving the Bitcoin ETF early this year. SEC had launched about 40 cryptocurrency regulations during his tenure.
Trump also addressed the general concern of the crypto users of the US that China would overtake the crypto market owing to the strict regulation put in by the US.
He assured his audiences that such an event would not happen if he was elected as the President.
He said that if America distances itself from cryptocurrency and blockchain technology, China will embrace it and overtake America, which cannot be allowed.
Impact of Trump’s Speech in America
Donald Trump’s Speech at the Bitcoin Conference in Nashville and the resulting hike in the price of Bitcoin shows the influence of cryptocurrency supporters in US politics.
Crypto adoption in the United States has grown from 30% of the population in 2023 to 40% of the population in 2024. Estimates show that nearly 93 million Americans hold one cryptocurrency or other.
This is a significant number as far as influencing the election outcome is concerned. The compounded annual growth rate (CAGR) of cryptocurrencies in the US is expected to be 12% from 2023-2030.
With so many crypto users in the country, any attempt at supporting crypto adoption will have a major impact on the political scenario of the country. Crypto users are a significant majority in the country, and Trump has played the card to lure them to vote for him.
Apart from individuals, financial institutions such as banks in America have also adopted cryptocurrencies in their daily transactions.
The worldwide adoption of the decentralized finance (DeFi) ecosystem has had its impact on the US market, with easy-to-make, contactless, peer-to-peer transactions being the face of new world digitalization.
Many of the major players in the cryptocurrency market are based in the US or have a strong say in the US market. Therefore, Trump’s stance in support of the cryptocurrency market will have a great impact on American politics and can be a determining force in the election results.
It is all the more important given Kamala Harris’s attempts to patch up the Democratic leadership’s relationship with the crypto adopters.
The Bottom Line
The US politics will be dotted with major announcements in favor of crypto adoption in the coming months.
Crypto users are expected to be a strong force in deciding the merit of the US elections; major attempts by political factions to appease them will gain momentum in the coming months and it will influence the prices of major cryptocurrencies such as Bitcoin.
