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Will The ‘Trump Bump’ Spawn Many New Cryptocurrencies?

When Donald Trump served his first term as president, he was dismissive of cryptocurrency. But his position has shifted radically to the point that he took such a pro-crypto campaign line this time that he gained the clear support of the crypto industry, which was concerned about growing regulation under the Biden administration and the prospect of more under Harris.

Trump’s victory means a series of new developments. He has pledged to dismiss Gary Gansler, the chair of the Securities and Exchange Commission who has been working hard under Biden to increase regulation. He also promised to set up a crypto advisory panel and use seized criminal assets to establish a strategic Bitcoin reserve.

The president-elect’s appointments also point towards creating a firmly pro-crypto environment, not least with the nomination of the pro-crypto Howard Lutnick, the boss of merchant bank Cantor Fitzgerald, as commerce secretary.

Bump Brings Bullish Boom For Bitcoin

In the circumstances, it is no surprise there has been a ‘Trump Bump’ in the crypto markets. Indeed, ‘bump’ might be an understatement as values have soared. Bitcoin, as the largest currency, has surged to record levels, moving close to $100,000.

For Volta Wallet holders, these are exciting times. There is, as they say, gold in them there hills. But is it all to be ‘mined’ from the much-dug Bitcoin pits, or are there other places to look?

With a Volta wallet, there is a vast array of possibilities for traders and investors. A key feature is the 90,000 pairs you can use for trading, which in a bull market like this will throw up a lot of possibilities.

Some of the currencies you may spot opportunities with will be fairly familiar ones, but at a time when crypto seems set to boom, now could be a very good time to look closely at any emerging new currencies. This will need to be a careful examination, of course; many currencies have crashed and burned. But there may also be some new gems.

A Ton Of Options?

Among the emerging currencies is Toncoin, a new entrant regarded as significant enough by Forbes to warrant a full feature. It notes this is the “native currency for the Open Network” or TON.

One of its other distinguishing features is its link to the social media network app Telegram. But the primary feature is that it is the main driver of the TON Blockchain, just as Ether is for the Ethereum Blockchain. TON is a proof-of-stake network, enabling investors to earn passive income.

Overall, it has been a fair success, valued at $0.50 in August 2021, rising to $4.50 by November that year, plunging to $0.82 in the general crypto downturn of 2022, but now up to $5.54, no doubt helped – and set to be aided more going forward – by the ‘Trump Bump’.

Forbes listed the currency as having various pros and cons, with pluses like high scalability, fast transactions, low fees and a lot of decentralisation, whereas its downsides include a lot of competition from similar currencies (Forbes named Solana as one), as well as limited adoption and developer support.

The conclusion Forbes reached was that while the new US administration could help Toncoin thrive, its success or failure depends on many factors, from leveraging its Telegram connections to whether rival Blockchains can manage to increase scalability.

Choose Your Strategy Carefully

Considering Toncoin has been in the top ten cryptocurrencies this year (although it has slipped down the pecking order lately), it is sure to have gained far more attention than a lot of the currencies you may encounter in a facility that has up to 90,000 pairs.

For that reason, you may carefully consider your options when devising your trading strategy, given that you may not be able to see so thorough an analysis of a currency as the type Forbes provided on Toncoin.

One approach may be to hedge somewhat and not commit heavily to any new, emerging currency, especially any that launches on the back of a new boom during the second Trump presidency. Alternatively, you might decide to leave them largely alone and focus on more established currencies, especially as so many could benefit from the bull market.

As ever, the crypto market has potential for volatility, so it is important to be aware of the potential for things to go wrong, such as the market overheating or Trump’s plans running into unforeseen problems.

However you decide to approach the market over the next few years, the myriad of options that the Volta Wallet gives you means you can work out a strategy that you think will best deal with what could be an extremely interesting few years.

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