Bitcoin has reached a new all-time high, briefly surpassing $106,000 (£83,890) before settling at around $104,500 in Asian trading on Monday.
The cryptocurrency’s price has soared by over 50% since Donald Trump’s victory in the 5 November election, driven by market optimism over the incoming administration’s favorable stance on digital currencies.
On Thursday, President-elect Trump reiterated his consideration of creating a national Bitcoin reserve, likened to the U.S. Strategic Petroleum Reserve, fueling speculation about the future of cryptocurrency in mainstream financial policy.
According to Peter McGuire of trading platform XM.com, the rally has been “parabolic,” with investors speculating Bitcoin could hit $120,000 by year-end and potentially exceed $150,000 by mid-2025.
Trump’s appointments have also bolstered confidence in the crypto market. Silicon Valley entrepreneur David Sacks, a former PayPal executive and ally of Elon Musk, has been named the administration’s AI and cryptocurrency lead.
Additionally, Trump plans to nominate pro-cryptocurrency attorney Paul Atkins to head the Securities and Exchange Commission (SEC), replacing current chairman Gary Gensler, who announced his resignation effective 20 January, Trump’s inauguration day.
Gensler’s tenure saw legal crackdowns on crypto firms, which had drawn criticism from industry advocates. The anticipated shift in regulatory approach under the new administration has heightened enthusiasm among cryptocurrency investors, further driving Bitcoin’s meteoric rise.
Image credit: Crypto Crow
