US stocks reached record highs on Wall Street, and the dollar saw its largest gain in eight years as Donald Trump secured re-election to the White House in a historic victory.
Bitcoin also reached an all-time high, spurred by Trump’s campaign promise to prioritize the volatile cryptocurrency.
Meanwhile, investors were speculating that Trump’s plans to cut taxes and increase tariffs would drive up inflation and slow down the pace of interest rate cuts.
The value of Bitcoin jumped by more than $7,200 to an all-time high of $76,450.
Trump’s stance on crypto stands in stark contrast with that of the Biden administration, which has led a sweeping crackdown on crypto firms.
He pledged to make the US “the bitcoin superpower of the world”.
During the election campaign, Trump had suggested that he could fire Gary Gensler, the chair of US regulator the Securities and Exchange Commission, who has taken legal action against several crypto firms.
Higher rates for an extended period suggest that investors may see improved returns on their dollar-based savings and investments.
Trump pledged to make America “the crypto capital of the planet” and create a “strategic reserve” of bitcoin. His campaign accepted donations in cryptocurrency and he courted crypto fans at the bitcoin conference in July.
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