July 16 2024: Bitcoin’s price surged on Tuesday, fueled by the prospect of friendlier crypto regulations in the U.S. as traders speculated that Donald Trump could secure a second term in the 2024 presidential race.
Reports also indicated that the Securities and Exchange Commission (SEC) was nearing approval for exchange-traded funds (ETFs) that directly track Ether, the world’s second-largest cryptocurrency, further boosting optimism for a more favorable regulatory environment.
Bitcoin rose 2.3% in the past 24 hours to $64,073.6 by 01:27 ET (05:27 GMT). Speculation over Trump helped the cryptocurrency recover from concerns about selling pressure due to distributions by the defunct crypto exchange Mt. Gox, which had caused Bitcoin to plummet to as low as $54,000 earlier in July.
Bitcoin Buoyed by Trump Bets
Bitcoin’s rebound followed a failed assassination attempt on Trump over the weekend, which was perceived as significantly boosting the former president’s popularity. This development was seen as giving Trump an edge over President Joe Biden in the 2024 presidential race. On Monday, Trump was officially nominated as the Republican presidential candidate and selected Ohio Senator J.D. Vance as his running mate.
Trump has maintained a largely supportive stance towards the crypto industry, recently stating that the future of Bitcoin should be built in the U.S. rather than overseas. He is also set to speak at the Bitcoin Conference in Nashville later this month.
A second term for Trump is likely to present a more favorable regulatory outlook for crypto in the U.S., especially after a series of crackdowns against the industry by the SEC and the Department of Justice in recent years. The SEC still has ongoing cases against XRP issuer Ripple and crypto exchange Coinbase (NASDAQ
), both facing allegations of distributing unregistered securities.
Crypto Price Today: Altcoins Rise, Ether Buoyant on Spot ETF Hopes
Among broader crypto prices, altcoins rose in tandem with Bitcoin. Ether, the world’s second-largest cryptocurrency, climbed 2.6% to $3,420.75. A Reuters report mentioned that the SEC had given preliminary approval to at least three of the eight asset managers who applied for a spot ETF, with trading set to begin next week.
The launch of spot Ether ETFs could attract a similar influx of institutional investors as seen with Bitcoin earlier this year. Bitcoin reached record highs shortly after the launch of its spot ETFs.
Other altcoins also saw gains, with XRP and SOL up 3% and 2.4%, respectively. ADA lagged, trading sideways. Among meme tokens, DOGE added 4.3%, while SHIB rose 7.1%.
