Bitcoin price rockets to new all-time high as Trump effect continues

Bitcoin has surged past $82,000, continuing its record-breaking streak following the re-election of Donald Trump as President.

The cryptocurrency reached an all-time high of $82,313 (£63,900) earlier today, although it has since relinquished some of its gains, it remains 2.1 per cent higher, as reported by City AM.

Bitcoin prices have soared approximately 20 per cent since Trump's election last week, with the rally spurred by optimism that a second Trump term could herald a new chapter for crypto. "Promises to deregulate crypto after three years of Gensler leading the Biden crackdown means the market is buoyant," commented Neil Wilson from Finalto.

Other digital currencies, including Ethereum and Solana, have also seen significant increases since the election. Despite previous criticisms of cryptocurrencies, Trump began to engage with the industry in the lead up to his campaign, fuelling speculation of a more supportive regulatory landscape.

"He's made an about turn on supporting the industry and is now vowing to turn the US into the crypto capital of the world," remarked Susannah Streeter, head of money and markets at Hargreaves Lansdown. "Bitcoin speculators are betting on a more clement regulatory environment and have expectations that the authorities may build up a reserve crypto fund, helping lift ongoing demand," she added.

Anticipation is mounting that Trump might appoint more crypto-friendly regulators and establish a strategic Bitcoin reserve should he return to office. In tandem, the Republican Party may soon be assuming control of the House of Representatives, setting the stage for potential sweeping legislative adaptations.