Bitcoin reached yet another peak on November 11 as the cryptocurrency boom continued after Donald Trump won the election.
According to Coin Metrics, the flagship cryptocurrency's price was last up more than 12%, at $89,174. It recently reached a new peak of $89,623. The CNBC story went on to say that Ether was up more than 7% to $3,371.79 following a 30% surge over the previous week that caused it to retake the $3,000 mark over the weekend.
The Cardano-related decentralized finance token increased by a mere 4.7%. Dogecoin's growth continued, reaching over 24%.
On November 11, Coinbase ended the regular trading day up 19.8%, while MicroStrategy saw an increase of about 25.7%. Longer trading saw both stocks rise as well.
The triumph of Trump ignited euphoria in the cryptocurrency market.
According to Susannah Streeter, head of money and markets at financial platform Hargreaves Lansdown, the market's "euphoria" following Trump's victory last week is what's driving cryptocurrency's upward trend.
In a research report published on Monday, she claimed that "His commitment to fully invest in cryptocurrency has sent Bitcoin to new heady heights. He has changed his mind about backing the sector and is now promising to make the US the global hub for cryptocurrency."
Bitcoin traders are placing bets on a more lenient regulatory framework and anticipate that the government would establish a reserve cryptocurrency fund to support sustained demand.
Trump promised the cryptocurrency industry a number of things throughout his campaign, such as making the US the "crypto capital of the planet" and requiring that all bitcoin be mined domestically.
Although the president lacks the authority to do so, he also promised to remove Gary Gensler, the chairman of the US Securities and Exchange Commission, who has adopted a strong stance against cryptocurrency. Last week, Citi strategists pointed out in a research note that cryptocurrency was one of the "few Trump trades that has yet to retrace."
According to the strategists, led by David Glass, "part of the reason is due to the anticipated crypto-friendly nature of Trump's administration, which investors hope will translate into regulatory clarity in the US."
They pointed out that some of the biggest inflows into spot crypto ETFs have occurred since the election. In particular, they stated that net inflows for Bitcoin and Ethereum ETFs were $2.01 billion and $132 million, respectively, in the two days following the election. "We still believe that the primary factor influencing Bitcoin returns is ETF flows."
According to some analysts, cryptocurrency will continue to increase in the future. Bitcoin is expected to reach the $100,000 mark before the end of the year.
Market participants and cryptocurrency enthusiasts will closely monitor these changes since they will assist them make informed investment decisions in the crypto arena.
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