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Bitcoin hit a new record high, driven by promises that cryptocurrencies will thrive in a more favorable regulatory environment, in line with the promises of Donald Trump, who during his election campaign held a key position for this rally in cryptocurrency markets.
This Monday, November 11, bitcoin hit a new record high by surpassing $87,000, driven by expectations that cryptocurrencies will thrive in a more favorable regulatory environment. This rally followed the election of Donald Trump as president of the United States and the victory of several pro-cryptocurrency candidates in Congress.
The world's largest cryptocurrency has more than doubled its value since the year's low of $38,505, trading at its peak at $87,460.
Cryptocurrency-linked stocks also saw significant gains. Coinbase Global, one of the main cryptocurrency exchange platforms, saw a 22% increase, while the iShares Bitcoin Trust rose 13%.
Companies such as Riot Platforms, dedicated to cryptocurrency mining, and MicroStrategy, one of the largest corporations that invest in bitcoin, also experienced increases of 19% and almost 24%, respectively.
Trump's support and the boost to cryptocurrencies
Donald Trump's stance during his electoral campaign has been key to this rise in the cryptocurrency markets. Trump promised to turn the United States into the "crypto capital of the planet" and proposed the creation of a national bitcoin reserve. Meanwhile, the cryptocurrency industry invested more than 119 million dollars in supporting pro-cryptocurrency candidates, many of whom won seats in Congress.
One of the most significant victories for the sector was the defeat of Senate Banking Committee Chairman Sherrod Brown, known for his critical stance towards cryptocurrencies. In contrast, in states such as Michigan, West Virginia, Indiana, Alabama and North Carolina, pro-crypto candidates, both Republican and Democrat, won their elections, reinforcing the influence of the sector in American politics.
Another relevant actor in this context is Elon Musk, the billionaire and Trump ally, who has also shown himself to be an active defender of these assets.
Musk's Tesla saw a 7.4% increase on Monday, reaching a market valuation of one trillion dollars, something that had not been seen since 2022. This further boosted shares in the consumer discretionary sector, which also reached a new high.
And investors are keeping an eye on the publication of inflation data, scheduled for Wednesday, and other key indicators that could offer clues about the future of monetary policy. Latin American economies on alert for Trump's arrival
In Latin America, the currencies of countries rich in natural resources began the week with a negative trend, influenced by the uncertainties surrounding Donald Trump's policy.
The Mexican peso was the most affected, falling 1.7% against the US dollar on Monday, while investors awaited the Bank of Mexico's interest rate decision and the presentation of the government's budget.
As for future prospects, all eyes are on the possible members of Trump's cabinet, whose appointment could accelerate or slow down the implementation of his policies in key areas such as trade, immigration and security.
These decisions will affect both global and Latin American markets, particularly in countries such as Mexico and Argentina, which experienced considerable volatility since the elections.
Will the United States be the 'oasis' of bitcoin after Donald Trump's electoral victory?
As preliminary results pointing to Donald Trump's eventual victory in the US presidential election were emerging, in the early hours of November 5, Bitcoin, the undisputed benchmark of the global crypto market, reached a new all-time high price, exceeding US$75,350.
According to data from Bitso's most recent report, the presence of Bitcoin in the average client portfolio in Latin America reaches 53% of total assets. In Colombia, Bitcoin is present in 47% of average portfolios.
The positive market reaction comes after an electoral contest where the Republican candidate publicly spoke out in favor of Bitcoin and crypto development on a global scale, as well as some of the Republican congressmen who were pointed out as winners.
 
“Bitcoin has a high dominance over the crypto world in general. There are tens of thousands of cryptocurrencies, which ‘look’ at Bitcoin and follow its trend, which generates optimism for a potential bull run, known as a bull-run, in which all cryptocurrencies appreciate and those profits are poured back into Bitcoin, to accelerate its growth. This is a phenomenon that we have observed after each halving and, although past events do not guarantee future events, they give us an indication of what could be ahead,” commented Felipe Vallejo, director of Public Affairs at Bitso.
Although the political scenario has a real impact, there are macroeconomic and structural conditions that have been acting for some time and pushing Bitcoin upwards. From a technical point of view, a new halving occurred in April, which reduces the circulating supply of bitcoin.
In terms of adoption, 2024 has been a decisive year, as the IPO of bitcoin ETFs has allowed the world's largest institutional investors to invest in bitcoin, which until now was out of their reach due to regulatory issues.
In addition, from a macroeconomic point of view, the United States economy has shown signs of slowing inflation and has lowered the reference interest rate, which benefits risk assets in traditional markets and also the crypto market in general. This encourages investors to migrate part of their investments to equity assets to maintain profitability, and bitcoin is receiving part of that influx.
Bitcoin investors in El Salvador expect greater profits under the Donald Trump government in the United States, why?
Bitcoin, the most widely used cryptocurrency, hit a new record price on Wednesday, approaching $93,500, and has appreciated by 35% since Trump's victory.
Salvadoran entrepreneurs and bitcoiners expect the value of bitcoin to continue to rise with the installation of a second Republican Donald Trump government in the United States and attribute the current price escalation to his victory in the November 5 elections.
Dozens of bitcoin holders, entrepreneurs and crypto-asset enthusiasts, mainly foreigners, are meeting this Friday and Saturday in the small town of Nuevo Cuscatlán, near San Salvador, for the inauguration of the Adopting Bitcoin 2024 conference.
"Now that Trump has won the Presidency (of the US), it has been reflected. Bitcoin has risen, we have surpassed the record price we had," bitcoiner Moisés Clarós told Efe on Friday.
Clarós, who is also part of Bit-Driver, the first Salvadoran company to accept cryptocurrency for taxi service, added that "this year we will reach $100,000" and "when Trump takes power, I know that bitcoin will grow even more."
Miguel Torres, also part of Bit-Driver, was optimistic and said that this push is a "positive change so that we all continue to grow in our finances."
Gerardo Linares, one of the promoters of the use of cryptocurrencies in the city of Berlin, in western El Salvador, said that this is a "happy moment for those who saved bitcoin."
He said that, despite the fact that "bitcoin is not political," if the United States begins to "take reserves" more countries in the world would join.
Bitcoin: a cryptocurrency guru estimates that it will reach $500,000, what is this based on?
The possibility of the United States adopting a Bitcoin strategic reserve poses a transformative scenario for both the cryptocurrency market and the country's position in technological innovation.
Michael Novogratz, CEO of Galaxy Digital, opined that the value of Bitcoin could skyrocket to $500,000 if Donald Trump establishes a strategic reserve for the cryptocurrency in the US. Another guru, Michael Saylor, CEO of Microstrategy, commented that although the idea of ??the US creating a BTC reserve is currently just an idea and not a concrete plan, "he believes that the proposal should be made - and will be made."
“If we get the Bitcoin reserve, as someone who owns a lot of Bitcoin, I'm not going to complain. I think Bitcoin is headed to $500,000. "It's a different paradigm because it forces other countries to follow suit," Novogratz said in an interview with Bloomberg.
Bitcoin, which is currently trading near an all-time high, is up more than 30% on the back of recent speculation about a possible US reserve and the victory of President-elect Donald Trump.
Bitcoin Week
The Buenbit platform noted that Bitcoin "had a more than positive week, with optimistic signs for the coming months" and highlighted that "on Wednesday alone, Bitcoin exchange-traded funds (ETFs) recorded an inflow of $510.11 million" to currently accumulate some $95.40 billion in cryptocurrencies, representing 5.38% of the cryptocurrency's market capitalization.
"This price movement, largely attributed to the Trump trade, reflects investors' belief that a tycoon presidency would support a more favorable regulatory environment for the industry compared to the current administration. This led to a rise in Bitcoin's market cap, which surpassed silver, consolidating its position as a prominent asset class," they explained.
BuenBit recalled that, although the general sentiment around Bitcoin remains positive, there are potential risks, as it is a risk asset. "However, we consider that any BTC pullback at this point is an excellent entry opportunity to capitalize on the good moment that the market is going through," they said.
Novogratz's words
Despite his optimism regarding the price, Novogratz expressed doubts about the likelihood of the US implementing a Bitcoin reserve under the Trump administration. "I still think it is an unlikely event," he said, citing the lack of a significant Republican majority in the Senate.
"I think it would be very smart for the United States to take the Bitcoin it already has, maybe add a little more and say: 'We want to show the world that we are a technology-first country, a leader in digital assets and cryptocurrencies.' But I don’t necessarily think the dollar needs something to back it up,” the Galaxy Digital executive added.
During the Bitcoin 2024 conference in Nashville, Trump proposed the creation of a US Bitcoin strategic reserve, pledging to establish a national BTC stock and implement crypto-friendly policies if re-elected. Following his re-election, discussions about this reserve have intensified.
Senator Cynthia Lummis has introduced the “Bitcoin Act,” which seeks to allow the government to acquire up to one million Bitcoins within five years, which is roughly equivalent to 5% of the total supply. The proposal has sparked intense debate among economists and lawmakers.
However, some critics point to Bitcoin’s volatility and question its viability as a national reserve asset. Nonetheless, the plan represents a significant shift in the US stance toward digital currencies.
 
 
Bitcoin's value has surged dramatically in recent weeks, reaching a near-record high of $90,000 following Donald Trump's victory in the 2024 U.S. presidential election. This represents almost double its previous value, marking one of the most significant increases in recent history. This phenomenon can be attributed to several factors:
 
1. Trump's Pro-Crypto Promises: During his campaign, Trump pledged to create a flexible regulatory framework for cryptocurrencies, promoting their widespread adoption. He also proposed establishing a "strategic Bitcoin reserve" and appointing crypto-friendly officials????.
 
 
2. Market Reaction: Investors responded optimistically to the possibility of a pro-crypto administration, contrasting with the more restrictive policies of the Biden administration. This shift encouraged a massive inflow of investments into Bitcoin and other cryptocurrencies????.
 
 
3. Impact on Other Cryptocurrencies: Ethereum, Solana, and Dogecoin also saw significant increases, with weekly gains of 37%, 32%, and 102%, respectively. Influential figures like Elon Musk, a Trump supporter, have also played a key role in this trend????.
 
 
4. Performance of Related Companies: Shares of cryptocurrency-related companies such as Coinbase Global and MicroStrategy rose by up to 24%. This enthusiasm reflects broader interest extending beyond the crypto market to traditional sectors????.
 
 
5. Future Expectations: Analysts predict that Bitcoin could surpass the $100,000 psychological threshold if enthusiasm and regulatory support persist. Institutional adoption and easing restrictions are also seen as critical factors that could solidify this trend????.

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