An assassination attempt on former U.S. President Donald Trump at a campaign rally in Butler, Pa., on Saturday has shaken the market in anticipation of Monday.
In times of political and economic uncertainty, traders often look for stable investments with less volatility, such as gold. However, others are turning to Bitcoin.
Bitcoin surged to more than $60,000 following the attack. The assassination attempt resulted in the death of one spectator and critically injured two others attending the rally. Trump is safe after the shooting, and the alleged shooter, identified as 20-year-old Thomas Matthew Crooks, is deceased, according to a press release from the U.S. Secret Service. Trump is still expected to speak at the Republican National Convention in Milwaukee this week.
Traders likely flocked to Bitcoin, which trades continuously and was just below $60,000 at the time of publication, for various reasons. Some anticipate that the assassination attempt will boost Trump’s chances of winning the U.S. presidential election in November. Others may have shifted to Bitcoin as an instinctive reaction to political instability.
During this election year, Trump has declared himself a “crypto candidate,” stating he would accept donations in Bitcoin, Ether, Dogecoin, Solana, and other cryptocurrencies. President Joe Biden has also said he’d consider accepting crypto donations. Trump’s position on cryptocurrency marks a significant departure from a few years ago when he denounced Bitcoin as “a scam against the U.S. dollar.” His stance has garnered increasing support from cryptocurrency leaders and community members as November’s vote approaches.
Outside of the crypto markets, traders are expected to gravitate towards safe-haven assets, such as gold and the Swiss franc, which are less affected by political and economic instability.
Ipek Ozkardeskaya, senior analyst at Swissquote Bank, told Yahoo! Finance, “This weekend’s events will likely cause increased volatility at Monday’s market open, both in stock and bond markets. We expect a flight to safe havens like the Swiss franc and gold. Bitcoin has reacted positively to the news as a result of a kneejerk flight to safety.”
Another asset people may be monitoring is Trump Media stock. The stock has been incredibly volatile since its debut in late March and was up just over 1% in after-hours trading Sunday at the time of publication.
Vinamrata Chaturvedi contributed to this article.