Will a Trump win be good for BTC, Solana, IOTA, and Zilliqa prices?

Bitcoin and other altcoins had a strong performance in 2023 as the industry went through numerous headwinds and tailwinds. The biggest tailwinds were the legal victories by Ripple Labs and Grayscale against the Securities and Exchange Commission (SEC).

Additionally, there was the issue of TradFi as many big financial services companies like Blackrock, Invesco, and Franklin Templeton applied for a spot Bitcoin ETF. Companies like the London Stock Exchange (LSEG) and ANZ Bank embraced tokenization.

Further, there are rising hopes that the Federal Reserve will approve a spot Bitcoin ETF in the coming weeks. Such a move will be beneficial to both BTC and other altcoins since we could see fresh ETF applications for altcoins.

Solana vs Bitcoin vs IOTA vs Zilliqa

Donald Trump and cryptocurrencies

Another likely catalyst that could push cryptocurrencies like Bitcoin, Solana, IOTA, and Zilliqa higher is the upcoming US election. While it is still too early, there are signs that the election will be between Donald Trump and Joe Biden.

Polls indicate that Trump has an edge against Joe Biden in the presidential race. However, a lot of things could change, especially now that Trump finds himself in a legal limbo. Hunter Biden, the son of Joe Biden, is also in a legal turmoil.

Still, analysts believe that the upcoming election could be a good thing for cryptocurrencies now that Trump is leading against Biden. The theory is that a Trump win will usher in a new regulatory framework in Washington.

Besides, a Republican president will appoint a relatively friendly head of the Securities and Exchange Commission (SEC). Under Biden, Gary Gensler has taken a highly combative approach when dealing with cryptocurrencies. He has filed numerous lawsuits against companies like Binance and Coinbase. In a recent note, VanEck analysts said:

“After a combative election that saw Donald Trump win 290 electoral votes and regain the Presidency, raising optimism that the SEC’s hostile regulatory approach will be dismantled, we think the Bitcoin price will reach an all-time high on November 9th.”

Trump and NFTs

Most importantly, Donald Trump is the only presidential candidate who has actively participated in the crypto industry. Together with Melania Trump, he has launched several Non-Fungible Tokens (NFTs) that have netted them millions of dollars.

On the negative side, Trump has a history of bashing Bitcoin and other cryptocurrencies. In the past, he has argued that there was no need for these coins. Instead, he argued that the US dollar was a better alternative. Recently, Jay Clayton, the former SEC Chair he appointed, warned that most cryptocurrencies were securities.

The other likely catalyst in a Trump presidency is that he could intensify his pressure on the Federal Reserve to cut interest rates. In his first term, he was known for bashing the Fed whenever it embarked on a hiking cycle. Low-interest rates or a dovish tone by the Fed will be a good thing for cryptocurrencies.

Therefore, the hopes of a change of regime in Washington could help push cryptocurrencies higher in 2024. However, in the past, cryptocurrencies have done well regardless of the US president. Bitcoin reached its record high of $67,000 during Joe Biden’s time. They also did well during the Obama and Trump periods.

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