Will Crypto Thrive Beyond Election Results? ETFs in Focus

Despite recent volatility, the outlook for cryptocurrencies remains optimistic. If Donald Trump, a pro-crypto presidential candidate, wins a second term, players in the space are likely to get some respite.

This raises the possibility of loosened crypto laws and regulations, which would strengthen the digital currency’s legitimacy and fuel Wall Street’s growing interest in the asset. While Kamala Harris is attempting to soften the Biden administration’s hardline stance on cryptocurrency, the outlook for the digital asset remains optimistic if Democrats win.

What Does Trump’s Election Victory Mean for Cryptocurrencies?

If Trump becomes President for a second term, it could lead to a surge in digital asset prices, paving the way for clearer regulations and wider acceptability. After Trump’s optimistic comments about the digital asset BTC in 2024, Bitcoin prices began to recover and almost broke the $70,000 mark before losing momentum.

Trump has made more than $4 million through various digital tokens, according to a campaign aide quoted on CNBC. Republican vice presidential candidate U.S. Senator J.D. Vance of Ohio also takes a pro-crypto stance and advocates for loosening regulations. This further bolsters the optimistic outlook for the future of digital currency.

According to Coindesk, Trump pledged to retain existing ownership of Bitcoin seized by the US Government at the conference and hinted that he could fire SEC Chairman Gary Gensler.

Trump stopped short of committing to creating a formal U.S. Bitcoin strategic reserve in his keynote speech at the conference, according to CNBC. While not an easy task, a reserve for Bitcoin would strengthen the cryptocurrency’s validity and send Bitcoin’s price soaring.

According to Marathon Digital CEO Fred Thiel’s report on CNBC, the US’s decision to create a strategic Bitcoin reserve will likely lead to other countries following suit, removing a significant amount of Bitcoin from circulation and increasing its price.

The Crypto Landscape Under Kamala Harris

According to a report by the Financial Times and Fortune, Vice President Harris’ campaign advisors are reaching out to key figures in the crypto industry to build relationships that could shape future regulatory frameworks.

Given the perception that the Biden administration is being tough on cryptocurrencies, Vice President Harris’ efforts to improve the Democratic party’s relationship with the industry could be seen as a positive development.

The story continues

According to CNBC, the crypto industry has growing bipartisan support in Congress, with more than a dozen Democratic representatives and congressional candidates calling on the Democratic National Committee to take a pro-crypto stance and elect an SEC chair who supports innovation.

ETFs to Consider

Whether Trump or Harris wins the election, the outlook for cryptocurrencies remains positive. Both presidential candidates are ready to support favorable regulations for digital assets. A Trump victory could lead to more relaxed policies that would benefit cryptocurrencies more, while a Harris victory would also boost the industry. Overall, it’s a win-win situation for the cryptocurrency industry.

Below, we have mentioned a few ETFs for investors to increase their portfolio exposure to digital currencies and benefit from the long-term uptrend of these currencies.

IShares Bitcoin Trust Registered IBIT gained nearly 10% in the past month. Grayscale Bitcoin Trust GBTC fell 1.4% in the past month. Fidelity Wise Origin Bitcoin Fund FBTC gained 9.70% in the past month. ARK 21Shares Bitcoin ETF ARKB gained 9.70% in the past month. Bitwise Bitcoin ETF Trust BITB gained 9.80% in the past month.

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Grayscale Bitcoin Trust ETF (GBTC): ETF Research Reports

iShares Bitcoin Trust (IBIT): ETF Research Reports

Fidelity Wise Origin Bitcoin Fund (FBTC): ETF Research Reports

ARK 21Shares Bitcoin ETF (ARKB): ETF Research Reports

Bitwise Bitcoin ETF (BITB): ETF Research Reports

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