Crypto Investors See Gains in ‘Trump Pump,’ Despite Mixed Feelings
Recent surges in cryptocurrency prices have led to substantial gains for some investors, driven by what’s been dubbed the “Trump pump.”
Miles, a 37-year-old NHS doctor from London, exemplifies this trend. He has been encouraging friends to invest in cryptocurrencies for years. “They have watched in frustration as my gamble paid off,” he said. His crypto portfolio now boasts a value of £2.3 million, despite having sold approximately £600,000 earlier this year to purchase a house. Miles initially invested £4,000 in Bitcoin back in 2012, and the returns have dramatically changed his financial situation. “It’s set me up for life,” he explained. “My pot fluctuates by hundreds of thousands each day, but I’ve been through years of volatile periods.”
Many investors attribute the recent crypto surge to the anticipated return of Donald Trump to the White House, viewing it as a sign of crypto-favorable conditions that would legitimize cryptocurrencies as mainstream assets.
The price of Bitcoin has surged, reaching a new record high of over $97,000 (£76,500)..
Several people noted that they had entered the cryptocurrency market within the last four years. Some had invested extra funds accumulated during the Covid lockdowns via user-friendly apps and platforms, a stark contrast to the once-complex process of acquiring blockchain currencies.
The responses also reflected the shift away from the historical “tech bros” associated with the crypto sphere toward professionals in various fields, such as teaching, banking, nursing, and IT. Many of these individuals have stated that these investments have become their best and, at times, only option for achieving financial security.
Several middle-class respondents expressed a loss of faith in traditional financial systems, turning to crypto as a means to achieve life goals like buying a house or having children.
Julian, a 57-year-old draughtsman from Nottingham, invested in Bitcoin as protection from inflation. “I was getting more and more alarmed that not only was there virtually zero interest paid on my savings, the value of every pound I owned was also reducing due to quantitative easing, as the government happily printed money to bail out the banks,” he mentioned. Though his investment initially decreased, he remained committed, buying the dips. After four years, his Bitcoin holdings have performed very well, and he views it as inheritance for his children.
Many investors are optimistic that Bitcoin may reach $120,000 or more by the first quarter of 2025. One solicitor from Dublin, whose initial investment of €40,000 in Bitcoin reached a value of €62,000, expressed confidence in this trend. Silas Gunn, aged 18, from North Yorkshire, made his first Bitcoin purchase about three years ago and has since built a portfolio of around £95,000.
Claire, a 50-year-old nurse from New Zealand, has invested in crypto for about a decade. She admitted to mixed feelings regarding her gains following Trump’s re-election. “Trump’s re-election has led to quite a significant increase in my wealth. I feel a bit guilty, like it’s almost dirty money,” she said. Though she supports crypto as a philosophy, she now plans on cashing out and investing in real estate.
Mitchell, from Minnesota, who works in the tech industry and earns $100,000 annually, invested in Dogecoin, which was promoted by Elon Musk as the “people’s crypto.” Mitchell purchased 16,000 Dogecoin between 2021 and 2022 for $1,300, which is now worth about $6,000. In December 2023, watching the rise in housing prices, he bought a single Bitcoin for $42,000. That investment has since more than doubled to $90,000.
While Mitchell fears a potential crypto crash, he has decided to remain invested. “I guess I’m staying on this ride in the hope that analysts forecasting mid-$100,000s for bitcoin by the end of 2025 are right, though the biggest thing I’ve learned in the last four years is that no one making those guesses has any idea what they’re talking about,” he said.
This sentiment highlights that for many ordinary investors, despite their gains, the future of the market remains uncertain.
