With Trump now victorious and the Senate confirmed in Republican hands, the markets are starting to react. Bitcoin with a 10% jump it updated its historical highs, trading at over 74,000 dollars. The capitalization exceeded 1,473 billion dollars, bringing its weight on the crypto market above 60%.
The entire industry celebrates the victory of Trump: from Ripple progressing by approximately 5% up to Dogecoin rose about 20%, driven by explicit support from Elon Musk to the former president. Trump he demonstrated an openness towards digital assets during his campaign, supported by the growing influence of the sector, which has invested significant resources in financing favorable political agendas. Trump promised to transform the United States into the global cryptocurrency capital, create a strategic reserve of Bitcoin and appoint digital-friendly regulators.
However, there is an issue that concerns Italy more closely: the increase in taxation on proceeds deriving from crypto-asset operations could lead to hiding this type of activity from the tax authorities, transferring them to non-EU operators, he said Andrea Brandolinideputy head of the Economics and Statistics Department of the Bank of Italy during the hearing on the maneuver in the House and Senate commissions. The new budget law, if it comes into force in its current text, provides for a “substantial” change in the level of taxation on cryptocurrency transactions, raising the rate from 26% to 42%, “with a negligible effect on revenue” , remember. In particular, the 2023 budget law had aligned the tax rate on crypto-assets to that envisaged for financial investments, offering the possibility for those who held this type of asset to bring out investments and proceeds with the payment of a lump sum. Operation. The performance of the last few sessions validates the strategy of exploiting the gaps in the 68 thousand/74 thousand dollar range to take profits. Wait for a close on a weekly basis above 77 thousand USD to return to strength.
Beyond Bitcoin And Dogecoinanother relevant “Trump Trade” is represented by Trump Media & Technology Group Corp (DJT). The actions of DJT they are seeing an increase of more than 10% in after-market trading. With a market capitalization of just $6.79 billion, DJT remains far below giants like Nvidia And Applethe two companies with the highest capitalization in the world. However, the title DJT recorded impressive trading volumes, exceeding those of Apple and approaching those of Nvidia, demonstrating the speculative and political interest that surrounds it. So pay attention to possible future movements: buy on rumors and sell on the news.
Also Tesla celebrates this victory, as do the futures on the S&P 500 and Nasdaq 100 indices. The Russell 2000 appears even more satisfied, which includes the smaller capitalization companies that benefit from the protectionist position of the Republican Party.
In the end PALANTIRa surge of 23% brought the improvement since the beginning of the year to +197% (better than Nvidia growth of 186%). In a letter to shareholders, the CEO, Alex Karpsaid the company’s expansion and growth “has never been stronger” Palantir launched its artificial intelligence platform of which the main customers are the Department of Defense and other US government agencies.
The dollar strengthens, penalizing gold and other raw materials. The yen fell by 1.5% and the euro by 1.7%. Today the market euphoria could continue, supported by the climate of greater stability. However, you need to pay attention: tomorrow the Fed could cool this enthusiasm. While a rate cut remains possible, the central bank may maintain a more cautious approach to the future of monetary policy. With the technology sector, the main pillar of Wall Streetwhich had bet on a Democratic victory, the pressure of rising ten-year yields and a less expansive Fed than market expectations could together represent the first cold shower for the markets.
