Bitcoin has surged past $73,000, nearing its all-time high, as enthusiasm builds ahead of the U.S. elections. According to Coin Metrics, its price increased by 3.8% to around $72,292.10, and earlier peaked at $73,601.59 — the highest since March. This rise has triggered significant short covering, with over $113 million cleared in the last 24 hours as per CoinGlass data.
Cryptocurrency trading platform Coinbase (COIN, Financial) and Bitcoin investor MicroStrategy (MSTR) both saw their stock prices rise over 1%. Bitcoin had been stuck in a tight range between $55,000 and $70,000, struggling to break past the $70,000 mark on several occasions this year.
Optimism is increasing with the upcoming U.S. elections. Despite high interest rates, demand for Bitcoin ETFs is returning, contributing to the month's record-high U.S. stock markets. Zach Pandl, Head of Research at Grayscale Investments, noted positive trends for Bitcoin, including economic stability, potential Fed rate cuts, and possible regulatory changes regardless of election outcomes. These trends, if continued, could drive Bitcoin to new year-end highs.
Republican candidate and former president Donald Trump has been supportive of the crypto industry, whereas Democratic candidate Vice President Kamala Harris has maintained a low profile on the subject. The election results are seen as a crucial catalyst for Bitcoin's price, but investors remain cautious, closely watching the developments.
Bitcoin's price has increased by 7% over the past week and is on track for a 14% rise in October, marking its best month since March.
