Bitcoin Surpasses $100,000 for the First Time
Bitcoin has officially crossed the $100,000 threshold, reaching a record high of $102,888 during early Asian trading on December 5, 2024. This significant milestone comes on the heels of expectations surrounding former President Donald Trump's upcoming presidency and his promises to deregulate the cryptocurrency market. The price surge of Bitcoin, which has more than doubled in value this year, is largely attributed to the favorable political climate following Trump's election victory on November 5, where he pledged to make the United States the world capital of cryptocurrencies.
Political Influence on Cryptocurrency Market
The recent rally in Bitcoin's price is closely linked to Trump's announcement that he intends to appoint Paul Atkins, a known cryptocurrency advocate, as the chairman of the Securities and Exchange Commission (SEC) once he takes office on January 20. This move is expected to ease regulatory oversight, which many in the cryptocurrency community view as a positive development. Atkins, who previously served as a commissioner from 2002 to 2008, is currently managing director at Patomac Global Partners and an advisor to the Digital Chamber, an organization that promotes blockchain technology.
Since Trump's election, Bitcoin has surged from $69,374 on Election Day to its current high, marking a 134% increase since the start of the year. This comes after a tumultuous period for the cryptocurrency, which saw its value plummet below $17,000 following the collapse of the FTX exchange two years ago. While the current market sentiment is optimistic, experts caution that the cryptocurrency sector remains highly volatile, and investors should be aware of the inherent risks.
