Bitcoin hit an all-time-high of $100,000 for the first time on December 5, 2024.
This is a big step in Bitcoin’s remarkable rise from a market digital asset to a popular financial tool. The election of Donald Trump, who promised better cryptocurrency rules, contributed to this growth.
Read also: Bitcoin hits record highs, eyes $100,000 milestone
Factors behind the surge
The price of Bitcoin surged dramatically from approximately $69,374 on election day (November 5) to a peak of $103,713 shortly following Trump’s electoral victory.
Experts say Trump’s appointment of cryptocurrency advocate Paul Atkins as head of the SEC is driving this growth.
“Bitcoin’s ascent past the $100,000 milestone is more than just a significant achievement; it signifies a crucial turning point for the cryptocurrency sector,” stated Jeff Mei, COO of BTSE.
Users can buy, sell, and trade Bitcoin, Ethereum, and other altcoins on BTSE, a popular cryptocurrency exchange.
Investors have been well-pleased with Trump’s pledge to loosen rules that kept a leash on crypto’s growth in the Joe Biden administration.
His campaign promoted a National Strategic Bitcoin Reserve and digital currency backing. This shift has prompted significant investments in Bitcoin-backed ETFs, driving up demand and prices.
Read also: Bitcoin jumps to $89,000 following Trump’s re-election triumph
The road ahead
Despite this historic spike, analysts warn Bitcoin’s future is questionable.
Bryan Armour from Morningstar remarked, “As long as the narrative stays positive, there’s always room to grow… It’s still a highly volatile asset.”
The bitcoin market is unpredictable; some analysts forecast more gains, while others warn of falls if political pledges fail.
The psychological impact of surpassing the $100,000 milestone has started to draw in new investors and affect market sentiment.
“Bitcoin reaching this level is pivotal, highlighting its increasing maturity and mainstream acceptance,” noted one market analyst.
Bitcoin’s financial position appears strong as institutional investors and ordinary traders boost its popularity. The community watches for legislative changes or market corrections that could affect this newfound stability due to cryptocurrencies’ volatility.