After the US presidential elections, where Donald Trump was the winner, cryptocurrencies that were previously classified as securities or securities by the Securities and Exchange Commission (SEC) under the direction of Gary Gensler, have experienced a significant increase in their prices. In some cases, these increases exceeded 10% this Thursday.
The cryptocurrencies of solana (SOL), polygon (POL), cardano (ADA), filecoin (FIL), cosmos (ATOM), sandbox (SAND), Algorand (ALGO), Decentraland (MANA), Axie Infinity (AXS) and Coti (COTI), showed notable increases. SUN increase 5.18%; POL 4.83%; ADA a notable 10.2%; FIL 3.1%; ATOM 1.76%; SAND 23%; MANNA 1.9%; SOMETHING 3.1%; AXS 4.1%; and COTI 0.8%, according to data from CoinMarketCap.
This movement in prices occurs in a particular context. In September of this year, the SEC, led by Gensler, amended its complaint against cryptocurrency exchange Binance, removing the phrase “crypto asset securities.”
This action was interpreted as a possible reduction in regulatory pressure on cryptocurrencies. However, in a June 2023 lawsuit, the SEC classified several of these assets as securities, creating market uncertainty.
The price increase in these cryptocurrencies has been fueled by Trump’s election victory and the positive sentiment generated by his campaign promise to fire Gensler. Trump had openly criticized Gensler’s regulatory approach against the sector, promising more favorable regulation which could benefit the cryptocurrency industry.
In addition to these specific altcoins, the general cryptocurrency market has also reacted. Bitcoin (BTC) has broken all-time highs this week, currently trading above $76,500, according to data from TradingView. This increase in the value of BTC has been a key factor in market confidence, dragging other cryptocurrencies with it.
More than 100 altcoins have also shown bullish behavior, with increases of more than 50% in one week, as reported by CriptoNoticias earlier.
This phenomenon reflects not only the immediate reaction to the electoral result and Trump’s promisesbut also a possible market reassessment of the value and utility of these cryptocurrencies in a potentially friendlier regulatory framework.
The cryptocurrency market has historically been sensitive to regulatory and political news, and Trump’s promise to change SEC leadership has acted as a catalyst for this recent rally.
Investors and analysts are closely watching how this situation will play out, with projections of up to $125,000 per bitcoin by the end of this year. This, due to expectations of what a new administration can achieve in favor of the regulatory landscape for cryptocurrencies in the United States.
The community hopes that Gensler’s departure, if it comes to fruition, means an easing of restrictions and greater adoption of these technologies. Furthermore, market movements also reflect speculation and expectations of more flexible policies, which could encourage greater innovation and development in the sector.
This article was created using artificial intelligence and edited by a human Editor.
