Bitcoin (BTC) Rallies to New All-Time High Above $75,000, Altcoins Join the Party

Leading cryptocurrencies gave a thumbs up to Donald Trump's presidential victory in anticipation of a friendlier White House.

Major cryptocurrencies reacted positively to Donald Trump's presidential victory on Wednesday, amid anticipation of a friendlier White House.

Here's a look at how some of the top crypto units fared during the session:

Bitcoin rose to levels last seen in early December, notching gains of 1.86% to trade at $74,866.6.

The apex cryptocurrency's fourth-quarter gains amounted to 18.74%, with historical averages showing gains of 83%.

Ethereum rose to levels last seen in late August, notching gains of 2.48% to trade at $5,506.86.

Dogecoin spiked over 8% to trade at $0.3300.

Bearish leveraged traders faced a bloodbath, with nearly $400 million in short positions getting wiped out in the last 24 hours.

Bitcoin's Open Interest surged 9.30%, indicating a substantial increase in speculative interest.

Most top traders on the cryptocurrency exchange Binance leaned toward bullish positions, as the Binance Top Trader Long/Short Ratio was 1.48 at the time of writing.

Market sentiment snowballed to "Extreme Greed," as per the Cryptocurrency Fear and Greed Index, raising concerns of a correction.

Top Gainers (24-Hours)

The global cryptocurrency market cap stood at $2.47 trillion, showing an increase of 5.55% in the last 24 hours.

Stock indexes erupted in a buying frenzy on Wednesday, with the Dow Jones Industrial Average booking its biggest-ever single-day point gain to close at a record high.

The Dow surged 1,508.05 points, or 3.57%, to a record close at 43,729.93.

The S&P 500 lifted 2.53% to end at 5,929.04, while the tech-focused Nasdaq Composite gained 2.95% to close at 18,983.47.

Both of these indexes notched a new record as well.

The benchmarks were helped by a 14.8% rally in the shares of Tesla Inc. (NASDAQ:TSLA) TSLA, the tech behemoth whose CEO Elon Musk geared up for a potential role in the new Trump administration.

Trump-owned Trump Media & Technology Group Corp. (NASDAQ:DJT) DJT also lifted nearly 6% during the session.

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Analyst Notes: Popular on-chain analytics firm CryptoQuant noted that Bitcoin was still not overvalued, despite leaping to new highs.

"The MVRV ratio shows BTC is still far from peak levels. The price is also close to the purchase cost of traders, indicating it's not overheated. This hints at a potential for further growth," the firm said in an X post.

Bitcoin's new all-time high doesn't mean it's overvalued relative to its cost basis.

The MVRV ratio shows $BTC is still far from peak levels.

The price is also close to the purchase cost of traders, indicating it's not overheated.

This hints at a potential for further growth. pic.twitter.com/xeeDdipN9O

Arthur Azizov, CEO of cryptocurrency payment provider B2BINPAY, said in a statement to Benzinga that Bitcoin might correct sharply by the end of this week or early next.

"The Bitcoin chart shows significant uncovered liquidity below the current price, while liquidity above has already been absorbed, indicating that a downward movement is needed to support sustainable future growth. Additionally, the Federal Reserve's rate announcement on Thursday is expected to bring further price volatility," Azizov added.

Furthermore, he expected BTC to range between $80,000 and $90,000 by year-end.

Photo by Avi Rozen on Shutterstock

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