Bitcoin Hits Record High, Markets Surge in Post-Trump Victory Rally

U.S. financial markets witnessed a historic rally Wednesday following Donald Trump’s presidential victory over Vice President Kamala Harris, with cryptocurrencies and Trump-affiliated companies leading the charge.

Bitcoin reached an unprecedented high of nearly $76,000, surging more than 9% as investors responded to Trump’s crypto-friendly stance and his promise to make the United States a “crypto capital.” The president-elect, who served as keynote speaker at this year’s Bitcoin conference in Nashville, has pledged to reduce oversight of the cryptocurrency industry.

The broader market celebrated the Republican sweep, with the Dow Jones Industrial Average posting its largest single-day gain since November 2022, jumping 3.6% to close at 43,729.93. The S&P 500 and Nasdaq followed suit, rising 2.5% and 2.9% respectively.

Tesla shares surged 15% after Trump announced plans to appoint CEO Elon Musk, a significant campaign supporter, to lead a government efficiency commission. The electric vehicle maker’s rally came despite concerns that Trump might end the $7,500 EV tax credit.

Banking stocks emerged as major beneficiaries, with JPMorgan Chase, Bank of America, and Goldman Sachs seeing gains between 8% and 13% as investors anticipated looser regulations and increased M&A activity. The small-cap Russell 2000 index recorded an impressive 6% gain, reaching its highest level in nearly three years.

Trump Media & Technology Group, the parent company of Truth Social, saw its shares rise 6%, valuing Trump’s majority stake at over $4 billion. The company recently reported quarterly revenue of $1 million.

The market rally reflected investor optimism about Trump’s proposed policies, including corporate tax cuts and deregulation. However, some sectors faced pressure, with retailers like Wayfair dropping nearly 9% amid concerns over potential new tariffs, particularly on Chinese imports.