Bitcoin (BTC) Sets a New All-Time High (ATH) of $80,000

According to CoinMarketCap, Bitcoin (BTC) has set a new all-time high (ATH) of $80,000. This spike occurred just days after Donald Trump's re-election

CoinMarketCap data shows that Bitcoin (BTC) has hit a new all-time high (ATH) of $80,000. This spike comes just days after Donald Trump was re-elected as the 47th President of the United States and follows a 25 basis point rate cut by the Federal Reserve.

The market reaction suggests growing optimism that the Trump administration will support and advance the crypto industry, including legislation designed to help legitimize Bitcoin as a mainstream asset.

Bitcoin Rise Driven by Trump Policies, Growing Institutional Interest

Anticipation of Trump’s policies favoring cryptocurrencies is largely credited for this latest Bitcoin surge. According to ByteTree analyst Charles Morris, the narrative has certainly shifted toward Bitcoin and cryptocurrencies becoming a major asset class.

Promises made during Trump’s campaign include establishing a strategic Bitcoin reserve, positioning the United States as a global leader in the crypto industry ahead of competitors like China, and appointing pro-crypto officials. These promises have instilled optimism among investors as they expect a favorable regulatory climate that can propel the industry forward.

In addition to Trump’s support for crypto, the approval of a Bitcoin ETF in the US earlier this year has brought in substantial institutional interest. This wave of institutional involvement has driven up demand and, consequently, the price of Bitcoin.

Binance CEO Richard Teng had previously estimated that Bitcoin will cross $80,000 by year-end, largely driven by rising capital flows into crypto-focused ETFs. His prediction now holds true as ETF-fueled demand continues to surge.

As reported by CNF a few days back, BlackRock’s IBIT fund saw a remarkable one-day net inflow of $1.12 billion, hitting an all-time high.

On U.S. election day, BlackRock’s IBIT ETF also showed a record $4.1 billion in trading volume. This massive figure highlights the strong institutional appetite for Bitcoin, which has been a key driver of its price appreciation.

Some analysts are now speculating about Bitcoin being worth $1 million, especially given the inflationary concerns over the U.S. economy, as we covered earlier.

Both Bitcoin and gold have attracted investors as appealing safe-haven assets amid concerns over inflation and economic uncertainty in the present financial climate.