Bitcoin hits 6-week high of $69,500 after Trump's pro-crypto speech
Bitcoin, the world's largest digital asset, soared to a six-week high on Monday. This surge followed a pro-crypto speech by Republican presidential nominee Donald Trump over the weekend. At 2:50pm, Bitcoin was valued at $69,507 after rising over 3% in the last 24 hours. Other tokens such as Ethereum, Solana, and Dogecoin also experienced an increase in value.
Pledge to make US a crypto superpower
During a conference in Nashville, Trump pledged to transform the US into the "crypto capital of the planet and the Bitcoin superpower" if he wins November's election. He also proposed that the US government should stop selling crypto assets seized in criminal cases. Instead, these tokens should be used to create a strategic Bitcoin stockpile, according to Trump's plan.
Trump's stance solidifies election trade
Chris Weston, head of research at Pepperstone Group, noted that Trump's pro-crypto speech solidified cryptocurrency as a key election trade. The upcoming Federal Reserve meeting this week is expected to initiate a rate-cutting cycle, further lifting market sentiment. This marks a significant shift from Trump's previous skepticism about cryptocurrencies during his time in office. Trump previously declared bitcoin "not money" and criticized it as "highly volatile and based on thin air."
Crypto-friendly regulatory changes proposed
Trump expressed his intention to replace Securities and Exchange Commission chair Gary Gensler with crypto-friendly regulators if he wins the presidency. He assured that future regulations would be written by those who support the industry. Additionally, he proposed forming a crypto industry presidential advisory council and creating a stablecoin framework while advocating for reduced enforcement.
Senator Lummis plans bill for Bitcoin stockpile
Republican Senator Cynthia Lummis of Wyoming announced plans to draft a bill requiring the government to build a stockpile of up to one million Bitcoin over five years. The proposed legislation mandates that this cryptocurrency be held for 20 years and could only be used to reduce the national debt. This move aligns with Trump's pro-crypto stance and his proposal for a strategic Bitcoin stockpile.
Trump's economic agenda favors crypto industry
Trump's economic agenda, which includes reducing tax rates and slashing government regulation, has found favor among Wall Street and business interests. He has also pledged to promote Bitcoin mining in the US, protect self-custody of cryptocurrencies, and prevent the Federal Reserve from issuing a central-bank digital currency that would compete with the industry. These steps would aim to strengthen the US as a global crypto superpower.
