Global Market Highlights: Trump’s Election Win, Fed Rate Cuts, and the Crypto Surge

Catch up on market highlights: Trump elected U.S. President, Fed and BoE rate cuts, Ethereum ETF exposures, and Bitcoin's new all-time high.

The global financial and crypto markets experienced significant shifts last week, marked by Donald Trump’s election as the 47th U.S. President, Fed rate cuts, and record-breaking moves in cryptocurrency. Key market players, from pension funds to regulators, are navigating these rapid developments as Ethereum, Bitcoin, and the broader crypto ecosystem show strong momentum. Here’s a summary of last week’s most notable market events across traditional finance, macroeconomics, and crypto.

Global Markets Update: Financial Shifts and Crypto Surges Amid Rate Cuts, Institutional Investment, and Economic Policies.

Key Points

Macro/TradFi

1. Trump Elected as U.S. President:

   • Donald Trump’s victory brings expectations of new economic policies that could impact inflation and fiscal policy, leading to potential shifts in market conditions.

     
     

2. State of Michigan Retirement System Invests in Ethereum ETFs:

   • The retirement system reported over $11 million in Ethereum ETF exposure, underscoring growing institutional interest in crypto.

     
     

3. Fed and BoE Rate Cuts:

   • The Federal Reserve and Bank of England cut rates by 0.25%, reducing their respective benchmark rates to 4.5%-4.75%. These moves align with efforts to navigate inflationary pressures.

     
     

4. Singapore Advances Tokenization and CBDC Plans:

   • The Monetary Authority of Singapore announced support for tokenization projects and plans for a wholesale CBDC testnet, boosting its fintech initiatives.

     
     

5. UK Pension Fund Diversifies with Bitcoin:

   • An unnamed UK pension fund reportedly invested 3% of its total assets in Bitcoin, reflecting rising interest in digital assets among traditional funds.

     
     

6. JPMorgan Rebrands Blockchain Unit:

   • JPMorgan renamed its Onyx unit to Kinexys, focusing on tokenization and blockchain solutions. It plans to launch on-chain FX capabilities by early 2025.

     
     

Crypto

1. Bitcoin Hits New All-Time High:

   • Bitcoin surged past $76,000, setting a new record, while mining difficulty reached an all-time high of over 100 trillion.

     
     

2. Ethereum’s Mekong Testnet and Solana Milestones:

   • The Ethereum Foundation launched the Mekong Testnet for its Pectra upgrade, while Solana reported its highest monthly active addresses, surpassing 123 million.

     
     

3. DeFi Developments and Revenue Records:

   • SynFutures launched a Perp Launchpad for perpetual futures, and revenue from Pump.fun reached $30.5 million amid the meme and AI hype.

     
     

4. Mt. Gox Bitcoin Transfers:

   • Mt. Gox moved $2 billion worth of Bitcoin, sparking speculation around possible repayment plans for creditors.

     
     

5. Crypto Expansion in China and France:

   • Huawei integrated the digital yuan CBDC into its HarmonyOS, and French regulators launched an inquiry into the prediction market Polymarket.

Related: Crypto News Roundup: Ethereum Whale Moves, BTC ETF Milestone, and Greed Index Shift

Last week highlighted the intertwining of traditional finance and cryptocurrency, with notable rate cuts from major central banks, increased Ethereum and Bitcoin exposure from institutional funds, and historic price movements in crypto. As Trump’s presidency unfolds and global financial players lean into digital assets and blockchain, these shifts underscore the transformative momentum in both traditional and decentralized finance. The upcoming months could see even more strategic moves as these developments reshape the market landscape.

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