In a historic moment for the cryptocurrency world, Bitcoin has surpassed the $100,000 mark, a milestone that has garnered global attention. President-elect Donald Trump, known for his strong opinions, took to social media to express his excitement and support for Bitcoin holders. His congratulatory message on Truth Social read, “CONGRATULATIONS BITCOINERS!!! $100,000!!! YOU’RE WELCOME!!! Together, we will Make America Great Again!”
Bitcoin’s Price Skyrockets Beyond Expectations
Trump’s enthusiastic endorsement of Bitcoin aligns with his campaign promise to transform the United States into the “crypto capital of the world.” With his administration set to commence on January 20, 2025, significant changes are anticipated in the regulatory landscape. Key agencies like the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) are expected to undergo reforms aimed at nurturing the digital asset ecosystem. Trump views this sector as a pivotal component of his presidency, marking a considerable departure from President Biden’s approach to the burgeoning financial domain.
Anticipated Regulatory Changes
The timing of Trump’s announcement is noteworthy, coinciding with the resignation of the current SEC Chair, Gary Gensler, effective January 20. This change is poised to open the doors for former SEC Commissioner Paul Atkins, who is likely to lead with a pro-crypto agenda. Dan Gallagher, the legal chief of Robinhood Markets, has expressed optimism about Atkins’ leadership, emphasizing his suitability for the role and his potential to address the industry’s regulatory concerns from the onset.
Bitcoin’s Market Cap Surpasses Major Corporations
The recent surge in Bitcoin’s value has propelled its market capitalization to an impressive $2 trillion, surpassing numerous high-profile public companies, including tech behemoths like Nvidia, Apple, and Alphabet. This valuation also eclipses the government bond markets of countries such as Spain and Brazil and is nearing the market capitalization of the UK’s FTSE 100 Index.
Analysts Predict a Robust Future for Bitcoin
Industry analysts remain optimistic about Bitcoin’s trajectory. Fadi Aboualfa, head of research at Copper Technologies, views the $100,000 milestone as the dawn of a new phase in the bull market, characterized by resilience against external pressures. Manuel Villegas, a digital assets analyst at Julius Baer, echoes this sentiment, pointing to sustained demand and the potential for a supply squeeze in the upcoming year, in line with historical trends.
Potential Shifts in Government’s Role in Bitcoin
Trump’s anticipated return to the White House could herald changes in government involvement with Bitcoin. At a Bitcoin conference earlier this year, he floated the idea of creating a strategic Bitcoin stockpile, beginning with assets seized by the US government. Supporters like Robert Kennedy Jr. and Republican Senator Cynthia Lummis have even proposed that the government acquire 1 million Bitcoin, valued at approximately $100 billion at current prices, to bolster the US dollar.
Market Trends and Future Outlook
This past Thursday, Bitcoin achieved a new all-time high of $104,150 per coin, reflecting a remarkable 6.6% increase within just 24 hours. However, the price has since settled around $103,000. The pressing question is whether this upward momentum will persist or if investor profit-taking will trigger a correction in the leading digital asset. The future trajectory will largely hinge on maintaining key support levels, with $100,000 being a critical threshold that could catalyze further price hikes.
The daily chart indicates that Bitcoin’s price has set a new record high, signaling potential for continued growth. As the world watches, Bitcoin’s journey is far from over, and its future remains a subject of intense speculation and interest.
