BTC surpasses $67K after Biden's exit: market reactions.
On July 21, U.S. President Joe Biden announced that he will not be running in the presidential elections set for November 2024, fully endorsing Vice President Kamala Harris's candidacy. Biden stated:
“I have decided not to accept the nomination and to focus all my energy on my duties as President for the remainder of my term. My first decision as the party's candidate in 2020 was to choose Kamala Harris as my Vice President. It was the best decision I ever made. Today, I offer my full support and endorsement for Kamala to be our party’s candidate this year.”
Biden's decision was somewhat anticipated, considering the growing pressure for him to step aside following a disappointing performance during a debate against former President Donald Trump.
Bitcoin’s price surpassed $67,000 after President Joe Biden announced his decision not to run for re-election in the November 2024 elections. Initially, BTC's value dropped but later surged to over $68,400 before stabilizing above $67,000.
Biden’s exit also impacted election forecasts. The probability of victory for pro-crypto candidate Donald Trump decreased from 71% to 65% on some blockchain betting platforms. Conversely, Vice President Kamala Harris’s chances nearly doubled, rising from 16% to 30%.
According to an analysis by Singapore-based crypto research firm Presto, Biden’s decision could pave the way for a more favorable stance by the U.S. government towards the digital asset industry, regardless of who the next occupant of the White House will be.
The crypto community sees Biden's departure as an opportunity for the Democratic Party to regain pro-crypto votes that have recently favored Republicans due to Trump's pro-crypto stance. Jake Chervinsky, chief legal officer at Variant Fund, emphasized the importance of capturing crypto users' votes, suggesting this should be a priority for the new Democratic candidate.
The Cedar Innovation Foundation, a policy group active in the crypto sector, suggested that with figures like SEC Chair Gary Gensler and Senator Elizabeth Warren influencing past White House policies, it might be time for renewed leadership. Colin McLaren, Engagement Director at the Cedar Innovation Foundation, stated:
“A new generation of Democratic candidates in the House and Senate has made pro-innovation policies a part of their platform, and we hope Vice President Harris and any other candidate for the nomination will do the same.”
Adam Cochran, partner at Cinneamhain Ventures, noted that while Harris has not taken a public stance on cryptocurrencies, she could gain favor in the sector by choosing a pro-crypto vice president. Potential candidates for this position, Pete Buttigieg and Josh Shapiro, have been noted as crypto-friendly. Cochran concluded:
“Considering the backlash seen in this area, and the field of moderates with reasonable views on cryptocurrencies, I think we can expect an attempt to distance from the crypto policies of the Gensler, Warren, and Biden era.”