Indian crypto operators are strategically positioning themselves to attract investors following Donald Trump’s recent election victory, which has sparked a surge in the cryptocurrency market. This new energy in India’s crypto ecosystem is supported by a significant rise in Bitcoin prices and expectations of favourable policies from the Trump administration. Crypto-related ads, that were popular a couple of years ago, are also making a comeback with many exchanges taking to print media to reignite the Indian investor's interest in the crypto market.
Ryan Lee, Chief Analyst at Bitget Research, highlights the scale of this resurgence. "The cryptocurrency landscape in India is experiencing a significant resurgence following Donald Trump's election victory, driven by a strong surge in Bitcoin (BTC)," Lee stated. He pointed out that Bitcoin recently surpassed $93,000, largely driven by a net inflow of $4 billion from traditional funds through Bitcoin ETFs. This inflow, averaging around $800 million daily, translates to the purchase of approximately 10,000 BTC each day. According to Lee, Trump’s comments at the Nashville Bitcoin Conference, where he suggested Bitcoin could become a U.S. reserve asset, could elevate BTC’s status and attract substantial global investments.
Indian crypto exchanges are using this bullish momentum to re-engage users. Lee notes, "Indian exchanges are strategically working to re-engage users during this bullish phase. Domestic platforms are ready to take advantage of these developments as a result of the new administration's expected improvement in liquidity and favorable crypto policies." By introducing new features and enhancing their platforms, Indian exchanges aim to leverage the positive market sentiment and win back the trust of users.
Dilip Chenoy, Chairperson of Bharat Web3 Association, confirms this proactive stance among Indian exchanges, noting a surge in trading volumes following Trump’s win. "This shift has prompted Indian exchanges to enhance their platforms, implementing user-friendly features and tailored incentives to attract returning users," Chenoy said. He emphasized that the Bharat Web3 Association is pushing for a regulatory framework that allows for innovation while fostering trust in India’s virtual digital asset (VDA) market.
The optimism comes as cryptocurrencies globally see a strong rally. Bitcoin and Dogecoin, which gained additional traction from Elon Musk, Trump’s advisor, are both hitting high points. Despite India’s current tax and regulatory barriers, there’s hope that Trump’s pro-crypto policies might influence Indian regulatory attitudes as well, creating a more welcoming environment for digital assets.
Om Malviya, President and Founder of Tezos India, is encouraged by the renewed interest in the crypto sector. "We are passionate about helping innovative products grow and educating people about blockchain technology," he said, expressing hope that regulatory clarity in the U.S. could inspire similar developments in India. "Developers and investors will find the confidence to take bold steps in these emerging markets while showcasing creativity."
Looking ahead, Lee projects that Bitcoin prices may fluctuate between $82,000 and $110,000 over the next month. This convergence of favourable political developments and bullish market conditions presents a unique opportunity for Indian crypto exchanges to regain their footing and attract new investors.