Bitcoin’s price — which purists have argued is correlated to its cost of production, its utility as a store of value or its intrinsic value — has proven to be more correlated to real-world affairs, particularly in 2024. As recent price movements have shown, the prospect of Donald Trump taking office again has an influence on cryptocurrencies as well.
Bitcoin, which has rallied over 115% year-to-date, is enjoying a triumphant year — following the approval of the Spot Bitcoin ETF in January, which saw prices breach US$60,000 ($80,324) in early March, and crossing US$70,000 on March 8. Speculations that the most valuable cryptocurrency by market capitalisation could reach US$100,000 by the end of the year flooded headlines.
The highly anticipated “halving” event happened on April 19, which was expected to give prices a further boost. However, the cryptocurrency only recorded a modest gain that day and closed at US$63,821.
