Bitcoin approaches a three-month high ahead of US election
Bitcoin surged by 9% over the past week and 31% since its September low, as markets bet on a potential Trump victory in the US election on 5 November.
The world's largest digital token topped $69,000 before retreating to around $67,000 on Monday, its highest level since 31 July.
In euro terms, Bitcoin rose above €64,000 briefly on Monday before retreating to just over €62,300 at 5:20 am CET on Tuesday.
Bitcoin's price is now only 8% below its all-time high of $73,000 (€64,700) set in March, when optimism surrounding the approval of a spot Bitcoin ETF and anticipation of a major Bitcoin halving event in April fuelled a rally.
The upcoming US election and central banks' easing monetary policies have sustained this upward momentum since September.
However, until Trump rules out a specific pro-bitcoin policy, the frenzy might have been overdone.
Michael Mc McCarthy, market strategist and CCO at moomoo Australia warns: "While Trump has appealed to the crypto bros during this campaign there are no specific policy announcements that justify the recent Trump trade rally in Bitcoin.
"Having climbed to within 8% of the all-time high, it's possible the risks in buying now outweigh the potential rewards."
The recent surge in Bitcoin has been largely attributed to the so-called "Trump trade", a financial market trend reflecting the scenario in which Republican candidate Donald Trump wins the US Presidential election on 5 November.
The former US President has been notably pro-cryptocurrency, pledging at the Bitcoin 2024 conference to make the United States "the crypto capital of the planet" and position Bitcoin as a global superpower.
Trump also vowed to dismiss Securities and Exchange Commission (SEC) Chair Gary Gensler, promising to
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