Investing.com-- Bitcoin rose on Wednesday and was within spitting distance of record highs as positioning around the upcoming presidential election spurred sharp gains across cryptocurrency markets.
The world’s biggest crypto rose 2% to $72,456.8 by 01:36 ET (05:36 GMT), and was just below a lifetime high of $73,798.
Bitcoin boosted by Trump trade
Recent gains in Bitcoin and crypto markets were driven chiefly by increased speculation that Donald Trump will beat Kamala Harris in the upcoming presidential election, with voting set for November 5.
This trade picked up in recent weeks as prediction markets largely favored a Trump victory, while polls pointed to a tightly contested election. Analysts said the election was still too close to call.
Trump has presented a largely pro-crypto stance in his campaigning efforts, vaguely promising friendlier regulation and vowing to make America the Bitcoin capital of the world.
Trump also launched some crypto ventures of his own, to varying success. His pro-crypto stance presents a major reversal from his earlier comments that Bitcoin seemed like a scam.
Recently, Harris also pledged to a crypto regulatory framework, although she did not provide any clearer details. But her comments spurred some speculation that crypto will benefit regardless of who wins the election.
Crypto price today: altcoins rise, but some caution persists
Broader crypto prices advanced on Wednesday, although most altcoins logged middling gains as anticipation of a barrage of economic readings and central bank meetings spurred some caution.
World no.2 crypto Ether rose 0.9% to $2,643.61, while altcoins XRP, MATIC and ADA rose marginally. SOL lagged, falling 1.1% as traders locked in heavy profits from the past two weeks.
Among meme tokens, DOGE surged 6.8%, extending recent gains.
But caution still persisted in markets, especially with focus turning to a string of key U.S. and euro zone economic readings due in the coming days. The Federal Reserve is also set to meet next week and potentially cut interest rates by a smaller 25 basis points.
Beyond the U.S., China’s top political body is set to meet next week to decide on more fiscal spending. The Bank of Japan is set to decide on interest rates this Thursday, while the Reserve Bank of Australia meets next week.