For so long in the United States, the crypto industry has been tossed up and down by many federal regulations and governmental policies that are not exactly crypto-friendly. However, upon the news of Trump’s reelection into the White House, the industry’s hope has been renewed. Many in the crypto community have placed all their bets on the self-acclaimed “Crypto President," believing that his administration will spell a good time for crypto businesses and even encouraging others to go all-in on crypto now. 

Venture Capital firm Andreessen Horowitz’s crypto department is one of the groups that believes Trump’s time is crypto’s time. The crypto-specialized department has actively urged crypto businesses and projects in the US to embrace crypto and decentralized projects with complete confidence. 

Andreessen Horowitz is known for its heavy investments in crypto and Web3 startups. According to a blog post released by the company on Monday, Trump’s pro-crypto stance will benefit crypto. Some of the firm’s crypto legal and policy experts even outlined how Trump’s administration could improve regulatory clarity. 

The blog post aimed to encourage crypto founders and businesses to leverage the new administration’s openness to crypto and digital assets in general while also staying compliant with stipulated regulations.

It is not hard to imagine how Trump’s administration might create a good crypto climate. His re-election alone has generated enough enthusiasm in the market to drive Bitcoin to unbelievable all-time highs above the $80,000 mark. 

Analysts also say that the boost in price could even be improved by the confirmation of Republican representatives winning the House. But while it is undeniable that crypto is having an excellent time, the question is whether it can keep up the positive trends.

Considering the price trends and market sentiment following the election, it seems crypto is back in full swing indeed. The industry’s total market cap is already nearing the $3 trillion mark. The last time crypto hit that same mark was on November 9, 2021, when the market was enjoying a bull run like no other. But is this sustainable? 

The Trump factor has also done more than its fair share in driving prices up. But beyond that, other factors such as solid corporate earnings, improved market sentiment, and strong market momentum have improved crypto’s standing.

However, whether this is enough to sustain crypto’s upward move remains unclear. According to Ryan McMillin, Chief Investment Officer at Merkle Tree Capital, crypto’s impressive rally is “just getting started." His view is that not only has Trump made many good promises to crypto advocates, but he will also enjoy Senate support in making favorable crypto legislation.

Real Vision Chief Crypto Analyst Jamie Coutts also believes the time to invest is now. He stated the next nine to 12 months as a period where the crypto market will enjoy significant growth.

However, Jehan Chu, the co-founder of Hong Kong VC firm Kenetic, believes that “all good things must come to an end.” He pointed at the many geopolitical tensions the world sees now as potential factors that will end crypto’s incredible run in time.

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