Americans Vote with Wallets

Americans voting with their wallet is nothing new. However, pro-crypto voters seem to have intensified this strategy in the 2024 U.S. presidential election, where Donald Trump defeated Kamala Harris.

Former President Trump's actions, including his NFT collections, speech at Bitcoin 2024, promises to fire crypto critic Gary Gensler, and a Bitcoin whitepaper birthday message, likely played significant roles in rallying voter turnout. For many Bitcoin enthusiasts, a Trump win symbolized the potential rise in the value of their favored digital asset.

> "Crypto supporters viewed a Trump victory as bullish for crypto," said Chris Yin, CEO of Plume Network. "Now we’re all looking forward to a golden bull run."

Bitcoin's Price Surge

In the short term, Trump's victory achieved what Bitcoin bulls hoped: a surge in cryptocurrency prices. Following the election results, Bitcoin hit an all-time high, exceeding $75,000. As of 2:49 p.m. ET on Wednesday, Bitcoin was trading at $75,587.52—an approximate 8% increase.

An October survey indicated some voters might determine their choice based on cryptocurrency market dynamics. Pro-crypto venture capital firm Paradigm found that 5% of voters identified as single-issue crypto voters, with the polling also suggesting increased trust in Republicans over Democrats concerning crypto policies.

Celebrating a 'Bitcoin President'

Michael Saylor, founder and Executive Chairman of MicroStrategy, expressed his excitement on social media, stating, "We have a Bitcoin President." Saylor likely celebrated as the value of MicroStrategy's bitcoin holdings climbed over $1 billion due to Trump's victory.

Some bullish analysts had already suggested that Trump’s win would boost Bitcoin prices. Brokerage firm Bernstein's Gautam Chhugani predicted Bitcoin could soar to $80,000 to $90,000 following Trump's win, whereas a Harris victory might drop prices to $50,000.

Clear Indicators

Bloomberg Senior ETF analyst Eric Balchunas noted the clear indicators pointing to a Trump victory being favorable for Bitcoin. He referenced an Iowa poll showing Harris ahead, which led to a dip in Bitcoin prices.

> "If Trump were to win, he’d have a more libertarian, regulatory approach to crypto," Balchunas said.

He also suggested that Trump's crypto-supportive stance, along with Wall Street's entry into the crypto space through ETF launches, would legitimize digital assets and drive prices higher.

Shift in Stance

Although Trump launched several NFT collections, his significant shift towards cryptocurrencies began in May when his campaign accepted crypto donations for the first time by a major U.S. presidential nominee. In July, he selected Senator JD Vance, who disclosed owning between $100,001 and $250,000 in Bitcoin.

Trump’s impactful moment came during his keynote speech at Bitcoin 2024, where he promised to revoke anti-crypto policies and pledged to fire Gensler if elected, earning huge applause from attendees. Even Mike Novogratz, a known Democrat, acknowledged the positive outcomes from Harris’s defeat for the crypto industry, commenting, "It was a great night for the crypto industry. [Trump’s] agenda is very pro-crypto."