Bitcoin has surged past the $70,000 mark for the first time since June, driven by significant inflows into spot-Bitcoin ETFs and increased market speculation as the US election approaches. The digital asset briefly climbed over 1%, later trading at $69,840 as of Tuesday morning in Singapore, while other tokens like Ethereum also posted moderate gains.
Bitcoin’s recent momentum reflects investor confidence in Republican nominee Donald Trump’s pro-crypto stance. Trump has openly embraced digital assets, positioning them as a key pillar in his campaign, and now leads in prediction markets. His tight race with Democratic contender Kamala Harris, who favors a more regulated approach to digital currencies, has further amplified Bitcoin’s appeal among investors.
Market analyst Tony Sycamore of IG Australia commented that a sustained push beyond $70,000 could help Bitcoin challenge its March peak of $73,798. October saw unprecedented inflows of $3.1 billion into spot-Bitcoin ETFs, as traders ramp up bets for Bitcoin to reach $80,000 by November’s end. Elevated implied volatility around the November 5 election has fueled options activity, with traders anticipating a major price swing regardless of the election outcome.
Bitcoin has climbed 66% in 2024, proving resilient despite reduced Federal Reserve rate cut expectations and increased scrutiny on Tether, a core stablecoin in the crypto market. With investor interest high and the election nearing, Bitcoin remains well-positioned as a top asset to watch for the coming months..