Bitcoin price hits new high, tops $75,000 as Trump’s election odds rise; analysts keep bullish calls amid risks
2024-11-06

Bitcoin price reached a fresh all-time high today, topping $75,000, as former President Donald Trump’s odds improved in the US election, bolstering the pro-crypto sentiment. The cryptocurrency price surged on optimism that a Trump victory could drive the digital asset sector forward, thanks to his campaign promises to make the US a global crypto hub.
Bitcoin, often referred to as a “Trump trade”, saw an 8-percent jump overnight as Trump gained leads in key states, according to several global news publications. The latest rally follows the recent fluctuation in Bitcoin price, which has closely mirrored Trump’s standing in betting markets.
Earlier, last week, Bitcoin price slipped by 4 percent to $70,000 when Trump’s lead narrowed on PredictIt, Polymarket, and Kalshi platforms, where participants bet on election outcomes. The correlation reflects crypto investors’ preference for his pro-crypto platform.
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While Trump has openly embraced the sector, pledging to establish the US as the “crypto capital of the planet” and create a strategic Bitcoin reserve, Vice President Kamala Harris has signalled a more measured approach, focusing on developing a clear regulatory framework.
Bitcoin price outlook: Analysts eye $80,000–$90,000, but risks remain
Ahead of the US polls and leads, analysts at Bernstein said they expect Bitcoin could soar to $80,000–$90,000 within the next two months if Trump secures a victory. Conversely, a Harris win may introduce downside risk, with a potential fall to near $50,000, said Bernstein analysts led by Gautam Chhugani, as reported by the Forbes.
However, Bernstein remains highly bullish on Bitcoin in the long term, maintaining a $200,000 target by the end of 2025, citing strong demand drivers such as institutional adoption and recent spot-Bitcoin ETF inflows.
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Standard Chartered analyst Geoff Kendrick projects Bitcoin could end the year at $125,000 under a Trump administration, while a Harris victory might temper the rise, with prices expected around $75,000.
Bitcoin volatility soars as election race intensifies
Traders are bracing for heightened volatility in the Bitcoin market as election results continue to come in. Bloomberg reported that Implied volatility, measured through Bitcoin options, has reached the highest levels since July, with traders preparing for swings of 8 percent in either direction, according to Caroline Mauron, co-founder of Orbit Markets. This is owing to the investor anticipation of regulatory changes.
In addition to election-related factors, Bitcoin has benefitted from a historic inflow into spot-Bitcoin ETFs this year, with $23.6 billion flowing into funds from issuers such as BlackRock and Fidelity, which has raised confidence in Bitcoin’s status as a key alternative asset.
Cryptocurrency industry expects a clearer regulatory framework after years of enforcement actions under President Joe Biden’s administration.Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.