The iShares Bitcoin Trust (IBIT), the spot Bitcoin ETF, the world’s largest asset manager BlackRock launched earlier this year, has seen $1 billion in trading volume in the first 20 minutes of trading.
According to Bloomberg’s senior ETF analyst Eric Balchunas, IBIT’s $1 billion trading volume in 20 minutes is “about what it does in a full day,” and other spot Bitcoin ETFs also saw “crazy volume” after Republican candidate Donald Trump secured the US presidential elections to become the country’s 47th president.
Damn, $IBIT has seen $1b in volume in the first 20min- that’s about what it does in full day. Other bitcoin ETFs in same boat, crazy volume. Set for a record-breaking volume day (and given price is up so much, this is likely feeding frenzy volume vs crisis volume = look for… pic.twitter.com/1gSvV5Lwzo
— Eric Balchunas (@EricBalchunas) November 6, 2024
Behind the explosive Bitcoin ETF trading volume is Bitcoin’s astounding price performance. The cryptocurrency surged around 7.65% over the last 24-hour period to now trade at $74,700, down from a new $75,392.26 all-time high seen overnight.
The new all-time high was reached as the former president’s lead in the Electoral College solidified and before mainstream news outlets declared the election in favor of Donald Trump.
Bitcoin’s price is surging on Trump winning the US elections as during his campaign, the Republican candidate shifted from skepticism to a strong pro-crypto position, and pledged to help make the country the “crypto capital of the planet.”
At a Bitcoin conference, Trump suggested he would fire the current Chairman of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, who has been leading a crackdown on the crypto industry and has been accused of “regulation by enforcement.”
The soon-to-be president also proposed the creation of a “strategic” Bitcoin reserve for the country, suggesting it could soon hold BTCs on its treasury. These moves could both help the cryptocurrency industry thrive and reduce available coins on the market, leading to potential price rises if demand remains stagnant or grows.
Trump’s economic policies, which include proposed tax cuts and tariffs on foreign goods, have been criticized by some economists for supposedly having the potential to drive up the country’s debt and halt economic growth. Bitcoin investments may also be surging as a hedge against potential future turbulence.
It’s worth pointing out that Bitcoin’s price is known to rally after the US presidential elections, as these fall on years in which the cryptocurrency undergoes a halving event. A BTC halving sees the network slash the Coinbase rewards miners receive per block found in half, effectively hampering the supply entering the market.
Data shows that on US election years, Bitcoin’s 90-day returns were 87%, 44%, and 145% after the elections in 2012, 2016, and 2020, respectively.
Marathon Holdings, a Nasdaq-listed cryptocurrency mining and blockchain technology firm, has raised $1 billion through…
OAI is changing the nature of operations with its powerful mini PC solutions, improving productivity…
Cardano’s native token (ADA) has performed well despite the downturn in the broader crypto market.…
Henderson, NV – Cornerstone Wealth Management is thrilled to announce the expansion of its suite…
Henderson, NV – Cornerstone Wealth Management is excited to announce the premiere of its new…
The total market capitalization of the Nasdaq-listed business intelligence firm MicroStrategy, the largest corporate holder…