Highlight
- Digital asset inflows post-US election reached US$1.98 billion, boosting global assets under management to US$116 billion.
- Bitcoin and Ethereum led inflows, reflecting renewed investor confidence amid macroeconomic changes and U.S. political shifts.
- The crypto industry’s US$130 million investment in the 2024 election secured strong congressional representation for endorsed candidates.
Digital asset inflows post-US election reached an impressive US$1.98 billion, driving global assets under management (AuM) to a peak of US$116 billion. Most of these inflows were centered in the United States, totaling US$1.95 billion, while Switzerland and Germany followed with inflows of US$23 million and US$20 million, respectively. The surge highlights a strong market momentum influenced by post-election dynamics and macroeconomic factors.
Bitcoin and Ethereum Lead Market Growth
Bitcoin led the digital asset inflows post-US election with US$1.8 billion, supported by macroeconomic conditions and significant shifts in the U.S. political landscape. Since the Federal Reserve’s interest rate cut in September, Bitcoin inflows have reached US$9 billion. The supportive market environment and increased investor interest reflect strong confidence in digital assets.
Ethereum also saw a boost, recording its largest inflows with US$157 million since July. This uptick signals renewed investor interest after a period of stagnation. Altcoins, including Solana (US$3.9 million), Uniswap (US$1 million), and Tron (US$0.5 million), contributed to the overall market growth. Blockchain equities experienced inflows of US$61 million, indicating robust demand across various digital asset sectors.
Also, Spot Bitcoin (BTC) and Ethereum exchange-traded funds (ETFs) have continued to experience strong inflows. On November 8, US spot Bitcoin ETFs recorded a net inflow of $293.4 million, marking three consecutive days of positive gains. This trend shows increasing interest in Bitcoin investments, boosted by Trump’s 2024 election win.
Crypto’s Growing Influence in U.S. Politics and Market Growth
The cryptocurrency industry played an important role in the 2024 U.S. election, investing $130 million to support over 50 candidates from the Democratic and Republican parties. All 48 endorsed candidates by leading crypto-focused political action committees (PACs) secured their seats, ensuring strong representation in Congress. Moreover, This political support shows the increasing influence of digital assets on national policy and regulation.
Crypto’s biggest political action committees spent $135 million to support their favored candidates. In 48 races called so far, they're undefeated https://t.co/xTnNQZlpT0
— Bloomberg Crypto (@crypto) November 8, 2024
The flow of digital assets after the US election demonstrates market appreciation and desire for crypto assets. Bitcoin and other digital coins or tokens receiving political support have turned into a new phase of higher investment, such as BTC, ETH, and other assets. Looking at macroeconomic factors and regulation advancements, the development of digital assets is thought to strengthen its position in financial markets in the future.