Bitcoin has broken to fresh highs above $104,900 as this year’s rally continues to benefit from several tailwinds, including President-elect Donald Trump’s impact on markets.
The asset is up 3.5% on the day following a new record price of $105,004. It's now up more than 140% in a year and 15% higher over a 30-day period, according to CoinGecko data.
Bitcoin and the broader crypto market saw a significant uplift following Trump’s presidential victory in early November. While questions remain about whether a slew of new proposed policies slated for digital assets will become a reality, others are confident recent developments are fomenting momentum.
“Campaign promises to make the U.S. ‘the crypto capital of the planet’ might be viewed as political posturing,” Lucas Schweiger, Digital Asset Research Manager at banking group Sygnum, told Decrypt.
Bitcoin Is Flying High—These Countries Are Considering a National Reserve
Some countries are mulling a national Bitcoin reserve amid a historic market run-up that has pushed the world’s largest cryptocurrency to new heights in recent weeks, with BTC topping $100,000 for the first time earlier this month. United States President-elect Donald Trump and his allies have repeatedly thrown their support behind a bill to stock the Federal Reserve with the asset, and will soon be in position to potentially make that a reality. Government officials in Brazil have also put fo...
“But the Crypto Advisory Council proposal, along with rumors of Trump meeting several heavyweights of the crypto industry, such as Coinbase CEO Brian Armstrong, sends a signal that the new administration will pay more serious attention to the crypto market and look to understand its potential opportunities for the US economy,” he added.
The Crypto Advisory Council is a proposed initiative, likely to comprise industry leaders, policymakers, and experts, designed to advise the government on crypto-related issues. If the initiative is realized, its purpose will be to guide the administration in understanding the crypto market's opportunities, challenges, and potential benefits for the U.S. economy while fostering informed policy decisions.
Specific proposals, including changes to tax policy for Bitcoin miners and profits on certain tokens, must gain approval from both Congress and the Senate, both currently controlled by Republican majorities.
The appointment of former PayPal COO David Sacks as Trump’s “White House AI & Crypto Czar” earlier this month, as well as several major firms jockeying for advisory council seats, all point towards “gathering momentum,” Schweiger added.
This week, members of the Federal Reserve will gather for this year’s last Federal Open Market Committee, where it is expected to slash rates by a further 25 basis points to between 425 and 450, according to the CME’s FedWatch Tool.
Bitcoin Will Eventually Be Seen as 'Just Money', Says Binance Co-Founder CZ
Changpeng Zhao is back on the crypto conference circuit and singing the praises of Bitcoin, months after wrapping up a four-month prison sentence in the U.S. Binance's co-founder took part in a fireside chat at the Bitcoin Middle East and North Africa conference on Monday in Dubai, and gave a traditionally bullish view on the digital asset's prospects. "We shouldn't be calling it Bitcoin, it's just money," CZ told the crowd, arguing that its use cases will grow in the years to come. While the bi...
Interest rate cuts have continued to prove to be a boon for risk assets, including crypto, this year as borrowing becomes cheaper and encourages investment.
Sentiment for next year’s continuation in higher prices also benefits other altcoins and meme coins, which have surged in the wake of Trump’s victory on November 5.
SUI and Polkadot (DOT) are today’s highest performers in the top 20 cryptos by market capitalization, up 7% and 5.8%, respectively.
