Assets tied to U.S. Republican candidate Donald Trump’s chances of winning the November 4 elections are experiencing renewed volatility after an attempted assassination of the former president on Saturday.
Bitcoin (BTC) experienced a 7% jump to $62,500 following the weekend’s events, which have increased the pro-crypto candidate’s election odds to 70% on Polymarket.. The leading cryptocurrency by market value has crossed the important 200-day simple moving average (SMA), signaling a positive trend for momentum traders, according to CoinDesk data. Additionally, Trump-themed Polifi tokens, which blend politics and finance, have also seen significant gains.
In recent months, Trump has shifted his stance to support crypto, aiming to outmaneuver his rival Joe Biden and win over the crypto community, which desires a friendlier regulatory environment. As a result, Bitcoin and the broader crypto market are now seen as bets on Trump’s victory. The former president is also set to speak at the Bitcoin 2024 conference in Nashville, Tennessee, on July 27.
The most significant news over the weekend was the attempted assassination of Trump. This event has notably increased his chances of winning the presidency again. As a pro-crypto candidate, Trump’s potential return to office is expected to positively impact the cryptocurrency market,” stated Greg Magadini, director of derivatives at Amberdata, in an email.
Meanwhile, the Chinese yuan (CNY) fell against the U.S. dollar amid concerns that a Trump victory could result in higher trade tariffs. Earlier this year, Trump proposed revoking China’s “most favored nation” status for U.S. trade and suggested imposing tariffs of over 60% on Chinese goods. Similarly, the Mexican peso (MXN) weakened due to Trump’s strained relations with Mexico during his previous presidency.