Bitcoin soared past the $100,000 mark on Thursday, reaching an all-time high as expectations of a crypto-friendly regulatory environment under the Trump administration buoyed market sentiment.
The world’s largest cryptocurrency last traded at $100,027 at 0240 GMT, climbing 2.2% during the session and touching an intraday peak of $100,277.
Bitcoin’s value has more than doubled this year and surged 45% in the weeks following Donald Trump’s electoral victory.
Analysts attribute the rally to optimism surrounding Trump’s pledge to establish the United States as a global hub for digital assets. His plans include creating a regulatory framework conducive to innovation and accumulating a national bitcoin reserve.
Paradigm shift in finance
“This is a turning point for the digital asset ecosystem,” said Mike Novogratz, founder of Galaxy Digital. “Institutional adoption, advancements in tokenization, and a clearer regulatory path are driving bitcoin into the financial mainstream.”
Experts see the milestone as more than a financial feat. Justin D’Anethan, a Hong Kong-based crypto analyst, remarked, “Bitcoin crossing $100,000 signifies a shift in finance, technology, and geopolitics, underscoring its growing acceptance.”
Trump’s embrace of cryptocurrencies during his campaign, coupled with pro-crypto lawmakers securing seats in Congress, has further fueled market enthusiasm. The president-elect recently announced plans to nominate Paul Atkins, a crypto policy advocate, as the new Securities and Exchange Commission (SEC) chairman.
Trump’s crypto ventures
Trump’s own ventures in the crypto space have added to the fervor. His September announcement of World Liberty Financial, a blockchain-based enterprise, signaled his personal stake in the sector. Additionally, Trump’s social media company is reportedly in advanced talks to acquire Bakkt, a prominent crypto trading platform, further intertwining his business interests with digital assets.
The industry has also seen renewed interest from investors. Over $4 billion has flowed into U.S.-listed bitcoin exchange-traded funds (ETFs) since Trump’s win, marking a significant departure from the SEC’s previous stance against such investments.
Opportunities and risks
Despite the euphoria, market participants remain cautious. Steven McClurg of Canary Capital noted, “While some investors may take profits at these levels, bitcoin has the potential to climb further, possibly reaching $120,000 by year-end.”
Critics, however, warn of lingering challenges. The collapse of the FTX exchange in 2022 and energy consumption concerns continue to cast a shadow over the industry.
Nevertheless, billionaire Elon Musk, a Trump ally and prominent crypto advocate, has added to the momentum, signaling confidence in the sector’s future.
