On July 22, Caixin reported that Biden's announcement on Sunday US time that he was dropping out of the US presidential race had caused concern in many markets, and cryptocurrencies, which did not rest over the weekend, became the first assets to react.

On Sunday, after Biden announced his withdrawal, the price of bitcoin first fell, with the lowest price reaching $65,833 during the day. It then rose all the way to above $68,200, with the bitcoin price now above $67,200 and a cumulative increase of over 7% in the past 7 days as of the time of publication.

After Biden's withdrawal announcement, he immediately issued a statement in support of his deputy Harris running for US president, which, combined with the direction of the Bitcoin market, seems to indicate the market's bet on the Trump-Harris showdown.

Tony Sycamore, a market analyst at IG Australia Pty. Ltd., said that the rise in Bitcoin prices indicates that the market believes that the Democratic Party led by Harris cannot defeat the Republican Party led by Trump in the general election. Under a President (i.e. Trump) who supports the development of cryptocurrencies, Bitcoin is experiencing a new dawn.

Apart from Bitcoin, the second largest cryptocurrency, Ethereum, has dropped slightly in price over the past 24 hours, with a decline of about 0.12%. The overall cryptocurrency market cap has risen slightly by 0.42% in the past day.

Celebrating early?

On the 27th of this month, Trump will give a speech at a large Bitcoin conference, which further strengthens his position as a promoter of the crypto world. In addition, Trump is also expected to hold a fundraising event after the Bitcoin conference.

Caroline Bowler, CEO of BTC Markets, said that the market is currently unclear about Harris's policy stance, and that the topic of cryptocurrencies may become key to the success or failure of the two candidates, and that she hopes to hear more of Harris's views on cryptocurrencies in the coming weeks.

However, some believe that Harris's victory is unlikely, and that the cryptocurrency market only needs to expect Trump to win. Teong Hng, CEO of cryptocurrency investment company Satori Research, said that the activity in the off-exchange options market suggests that Bitcoin could soon return to its historical high.

He added that institutional investors' bullish sentiment is increasing, and that Bitcoin prices are expected to rebound strongly by the end of the year, with Trump's victory being a symbol of the asset's price peak.

Chris Weston, research director at Pepperstone Group, also analyzed that the strong inflow of capital into Bitcoin ETFs recently suggests that Bitcoin prices are likely to once again challenge $70,000.

Benjamin Celermajer, co-chief investment officer of Magnet Capital, is already looking to the future, saying that under the leadership of the Trump administration, the cryptocurrency market will become more valuable for investment.

Editor/Jadyen