How Trump’s Campaign And Rising Yields Impact Bitcoin Price

According to a recent Bloomberg report, Bitcoin’s association with Trump is becoming more pronounced as global markets react to his potential return to the White House. 

Nonetheless, the financial landscape is shifting, with rising bond yields and a strengthening dollar coinciding with Trump’s lead in prediction markets. Experts anticipate that a Trump victory could usher in a pro-growth economic agenda, thereby tightening monetary policy.

Market analysts, such as Tony Sycamore from IG Australia Pty, emphasize that the current selloff in stocks and a stronger US dollar and rising yields signal tightening financial conditions. 

The analyst explains that this environment is generally unfavorable for the Bitcoin price and the broader crypto market, which tends to thrive in more liquid market conditions. 

Sycamore went on to say that while the initial monetary conditions were already loose, the speed of the tightening poses a significant threat to the Bitcoin price and other risk assets as the likelihood of Trump securing another term in the Oval Office increases.

Regulatory Easing Under Trump’s Return? 

Trump’s campaign has openly embraced the cryptocurrency sector, promising to position the US as the “crypto capital of the world.” His approach starkly contrasts Harris’s more cautious stance, which involves supporting a regulatory framework to foster industry growth while ensuring consumer protection. 

The recent Bloomberg News/Morning Consult poll reveals that Trump and Harris are statistically tied among likely voters in key swing states, indicating that the upcoming election could hinge on targeted advertising, rallies, and grassroots efforts—all of which could influence market sentiment.

In the crypto market, investors are increasingly betting on a potential victory for former President Donald Trump on Polymarket. Current polls show Trump leading with 62% support compared to 38% for Vice President Kamala Harris as of Thursday, marking the largest margin since the race began. 

Should Trump win in the upcoming election, Bloomberg notes that experts predict a potential yield increase, which could negatively impact risk assets, including the Bitcoin price performance. 

Caroline Mauron, co-founder of Orbit Markets, points out that while higher yields may pose challenges, the anticipated regulatory easing under a Trump administration could be pivotal in shaping the crypto landscape. 

Despite potential economic challenges that could negatively impact BTC’s performance, Mauron concludes that the regulatory shift could support Bitcoin and other digital assets in regaining their footing.

At the time of writing, Bitcoin is trading at $67,670, up 2.4% over the past 24 hours. 

Featured image from DALL-E, chart from TradingView.com

Trump Crypto Venture Faces Setbacks

Zachary Folkman, co-founder of WLF, had previously indicated that over 100,000 individuals were on the whitelist for the investment opportunity. Despite this promising start, the reality was starkly different. 

As of Tuesday afternoon, blockchain data from Etherscan revealed that only about 4,300 unique wallet addresses held the WLF token, amounting to roughly 4% of the registered investors.

The platform reported selling more than 532 million tokens at a price of 15 cents each, which represents less than 3% of the total 20 billion tokens available for public sale. 

Throughout the day, users faced consistent disruptions, with the website often displaying a message stating, “We are under maintenance.�WLF has yet to provide an official comment regarding these technical difficulties.

These setbacks come at a crucial time for Trump, who is the Republican presidential nominee and has heavily promoted the project since August under the branding “The DeFiant Ones,�a nod to decentralized finance (DeFi). 

The project’s roadmap indicates an ambitious goal of raising up to $300 million at a $1.5 billion valuation during the initial sale.

Investors To Receive Voting Rights On WLF Platform

Folkman, who has a varied entrepreneurial background, including a previously owned company, Date Hotter Girls, has stated that 20% of WLF’s tokens are allocated to the founding team, which includes members of the Trump family. 

The WLF token, WLFI, is structured as a Regulation D offering, allowing it to raise capital without registering as a security with the SEC, provided it meets certain conditions, such as limiting the sale size and restricting participation to accredited investors. So far, details about the project’s functionalities remain sparse. 

Individuals associated with the Trump family project have suggested that the platform will facilitate borrowing, lending, and investing in cryptocurrencies. However, a formal white paper or comprehensive business plan has not been made public, and the primary disclosure has been that investors will receive voting rights on the forthcoming WLF platform.

In a step toward legitimacy, WLF has also initiated the process of obtaining approval from Aave, a DeFi ecosystem and lending platform known for its open-source framework and reputation in the crypto community.

Featured image from DALL-E, chart from TradingView.com