Investing.com – Bitcoin rose on Friday and stayed near record highs reached this week as Donald Trump’s victory in the 2024 presidential election and the Federal Reserve’s interest rate cut kept cryptocurrency markets bullish.

The world’s largest cryptocurrency surged to record highs this week amid optimism about friendlier U.S. regulations during Trump’s second presidency.

The Fed’s interest rate cut on Thursday deepened that gain as the bank signaled the U.S. economy remained robust and would likely ease monetary policy further.

rose 1.6% to $75,980.3 by 00:20 ET (05:20 GMT).

Bitcoin Remains Bullish as Trump Trade Continues

Bitcoin rose to a record high of $76,837.8 on Thursday and stayed within sight of those highs after Trump’s victory sparked a surge in cryptocurrency markets.

Bitcoin has been at the forefront of these gains as markets bet that Trump will introduce more cryptocurrency-friendly regulations, as promised in his campaign.

Trump has promised to make the United States the “crypto capital” of the world, although he did not specify what effects his policies would have on the crypto industry.

Still, crypto bulls are betting that Trump’s policies will give Bitcoin greater legitimacy as an investment instrument, increasing its adoption by institutional investors.

Fed rate cut boosts cryptocurrency gains

Risk appetite was strengthened by the Fed on Thursday, in line with general expectations.

Chairman Jerome Powell said the U.S. economy was in a good position and signaled the bank would continue to ease monetary policy, albeit cautiously.

Powell also said the Fed’s path remains unchanged in the face of short-term U.S. policy changes, but in the longer term it will adapt to changing policy.

His comments spurred gains in most risk-based assets, with Wall Street hitting record highs on Thursday. These gains also spilled over to cryptocurrencies.

Still, the long-term outlook for interest rates has become more uncertain, especially amid expectations that Trump will implement more inflationary policies.

Cryptocurrency Price Today: Bitcoin, Altcoins Set for Stellar Weekly Gains

Cryptocurrency prices were headed for a great week, with Bitcoin trading up almost 10%.

The world’s No. 2 cryptocurrency rose 2.8% to $2,916.48 on Friday and was expected to gain more than 17% this week – its best performance since mid-May.

Memecoin performed exceptionally this week, rising nearly 24% for its second straight week of double-digit gains.

Other altcoins, including , and , have rallied between 7% and 22% this week.