Crypto Ignored in Debate: What’s Next for the Market?
Despite hopes for crypto discussions, the recent debate ignored the topic, leaving the market to focus on other key economic and political developments.
While many in the crypto world hoped the latest presidential debate would address cryptocurrency policies, the topic was completely ignored. Tim Kravchunovsky, founder of decentralized network Chirp, expressed his disappointment, though it wasn’t unexpected.
Focus on Traditional Issues
The debate mainly focused on inflation, immigration, abortion, and foreign policy, with no attention given to emerging topics like cryptocurrency. Even though Kyle Bligen, financial policy director at Chamber of Progress, wrote to ABC News asking for candidates' positions on crypto, the issue wasn’t raised during the debate.
Kravchunovsky believes this highlights that crypto is not a priority for the candidates, despite its importance within the Web3 community. “This was proof that neither candidate sees crypto as vital,” he said.
Crypto Market Reaction and Candidate Views
The debate had a slight impact on the crypto market, with Bitcoin falling 2% during the event before recovering the next day. As of Wednesday afternoon, Bitcoin’s price remained stable.
Donald Trump has previously shown support for US Bitcoin mining and has promised to fire SEC Chair Gary Gensler. He’s also stated his intention to make the US a leader in crypto and Bitcoin if elected.
In contrast, Kamala Harris has remained relatively silent on cryptocurrency. However, a campaign policy adviser indicated that she would support policies promoting the growth of emerging technologies like blockchain.
Some believed that if Harris had voiced strong pro-crypto statements during the debate, the market could have reacted positively. But this didn’t happen, as Harris instead focused on AI and quantum computing, leaving out crypto entirely.
Post-Debate Market Predictions
Some crypto experts speculated that Trump’s performance could positively impact Bitcoin’s price, but polls indicated Harris performed better during the debate, causing doubt about a market boost. According to Polymarket data, Harris’ odds of winning the debate soared to over 90% during the event, while Trump's odds quickly leveled out.
Both candidates are now seen as nearly tied in election predictions, with Trump holding a slim 50% to 49% edge by Wednesday afternoon.
What to Expect Going Forward
Kravchunovsky cautioned that crypto enthusiasts shouldn’t place too much hope on politicians. While the election outcome will undoubtedly influence the industry, he doesn’t believe the impact will be as significant as many expect. He noted that upcoming developments, such as Federal Reserve rate decisions, could play a larger role in shaping the market.
The Federal Reserve is set to announce its interest rate decision on September 18. Currently, there’s an 85% chance of a 25 basis point rate cut and a 15% chance of a larger 50 basis point cut, according to CME Group’s FedWatch.
While the election and ongoing debates are crucial, the immediate future of the crypto market might hinge more on economic policy than on political promises.
