Bitcoin hits record price after Trump takes early lead in US election

The original cryptocurrency jumped past US$75,000 on Tuesday night in the US, topping a record set in March

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Representations of bitcoin seen in this illustration picture taken in Paris on March 9. Photo: Reuters

Published: 12:01pm, 6 Nov 2024

Bitcoin jumped to a record as traders around the world watched results trickle in from a US presidential election that pits digital-asset supporter Donald Trump against Kamala Harris, who served as vice-president during a government crackdown on the industry.

The original cryptocurrency rose more than 8 per cent, rising above US$75,000 as of 10.08pm in New York. That topped the March record set during the euphoria that followed the launch of US spot-bitcoin exchange-traded funds.

Bitcoin extended gains as Trump took an early lead, yet the race was far from settled late Tuesday evening. With polls closed in more than two-thirds of states, Trump had taken preliminary leads in Georgia and North Carolina, two key swing states, while vote counting in others was in its early stages.

“It has to be because the early numbers are looking good for Trump,” said Fredrick Collins, chief executive officer and founder of crypto data platform VeloData. “Bitcoin is one of the top instruments for trading the election tonight in my opinion. It’s relatively liquid and very tied to the outcome. So it’s pretty safe to assume any increases in price are tied to increases in Trump’s prospects of winning.”

Other tokens rallied as well, with Ethereum, the second-largest cryptocurrency, jumping 6.5 per cent. Dogecoin, the so-called memecoin also known as Doge that’s been promoted by Trump supporter Elon Musk, surged 18 per cent.

“Doge, because of its association with Musk, has been a particular beneficiary,” said Cosmo Jiang, general partner at crypto-focused investment firm Pantera.