Bitcoin Hits $76K Post-Trump Win, Traders Eye Fed Rate Cuts

SUMMARY

Bitcoin reached a new peak of $76,000 after Trump’s win, with eyes on a 0.25% rate cut.
Analysts watch Fed Chair Powell for policy signals as rate cuts may boost BTC further.

Bitcoin (BTC) surged to a record $76,000 after Donald Trump won the U.S. election. This stamped a bullish move for the crypto division. BTC rose 6.6% in 24 hours, expanding its 30-day gain to over 21%. It more than doubled in value over the past year, concurring to CoinGecko. Other crypto resources moreover rallied, with tokens like those of decentralized exchanges hopping over 10%. This development reflected the “Trump trade” in stocks and bonds.

“BTC has experienced three election cycles since 2009, each taken after by new highs,” QCP Capital said in a Telegram broadcast. The dollar surged by 1.2%, coming to July highs of 105. Bond yields climbed as markets anticipated more grounded development and expanded monetary spending. QCP Capital anticipates bullish energy to last through 2025.

Attention presently shifts to potential Federal Reserve rate cuts. Traders expect the next Fed choice on Thursday. Analysts anticipate a 0.25% rate cut, which has generally upheld BTC. This cut could weaken the dollar and thrust investors toward alternative resources. Polymarket shows a 97% chance of a 25 bps cut.

“A 25bps rate cut is broadly anticipated, with a 96.8% probability,” Min Jung of Presto Research said. The 10-year Treasury yield has climbed to 4.48%, reflecting concerns over conceivable inflation and higher deficits. Traders will closely observe Jerome Powell’s comments for more knowledge, particularly since November lacks an economic projections update.

A hawkish articulation from Powell might hurt market sentiment. “A hawkish FOMC would be negative, but remaining dovish risks a bond yield spike,” Augustine Fan from Sofa expressed. China’s potential policy response to U.S. tariffs may moreover affect markets. Facilitating measures from China may impact BTC prices, even with its crypto trading ban. This could influence dollar strength and bond yields.

Some analysts don’t see more rate cuts under Trump. “Despite policy expectations, the market predicts 1.8 cuts this year and three next year,” QCP noted. This suggests the market still anticipates rate adjustments, even under Trump’s administration.