Late Wednesday night, the price of bitcoin finally surpassed the long-awaited $100,000 barrier. The flagship coin underperformed on Thursday afternoon. Coin Metrics reports that it was trading at the lows of Thursday’s trade, when some investors took profits, and it was recently up 0.28 percent at $99,140.00. On Wednesday night, we recorded increases of up to $103,844.05.
This development occurred following Trump’s announcement that Paul Atkins would lead the SEC. As a result of the agency’s regulation-by-enforcement strategy toward the Crypto business during Gary Gensler’s leadership, the nomination has the potential to fulfill Trump’s most critical campaign pledge to the Crypto industry: to replace Gensler. With a “you’re welcome” and the words “together, we will make America great again,” Trump praised bitcoins in a Truth Social post on Thursday morning, whose efforts helped send bitcoin to $100,000.
Bitcoin From Anti-Establishment to Institutional Power
Today is a special day for Bitcoin surpasses holders who have “HODL’d” their coins through the many boom and bust cycles of the cryptocurrency, even though governments and banks have been unfriendly toward it. The cryptocurrency’s anti-establishment origins are a major factor in this. At the height of the 2008 financial crisis, Satoshi Nakamoto, the creator of Bitcoin, proposed the idea of a “peer-to-peer version of electronic cash” in the Bitcoin Whitepaper. This would facilitate direct online payments between parties, eliminating the need for a financial institution.
However, in recent years, the business has shown bitcoin’s worth to many institutional investors. At the beginning of this year, at bitcoin’s “IPO” moment, major financial companies like BlackRock, Fidelity, and Invesco introduced the first spot bitcoin ETFs. Since then, the price of Bitcoin has risen because of the increasing demand from these institutions. With regulatory changes anticipated under the future Trump administration, Charles Schwab is gearing up to join spot crypto trading, according to Rick Wurster, the firm’s incoming CEO, who announced this in November.
Bitcoin From Digital Gold to Mainstream
At the DealBook conference on Wednesday, Federal Reserve Chair Jerome Powell compared Bitcoin surpasses to “gold, only it’s virtual; it’s digital.” Noting that “it’s not a competitor for the dollar; it’s really a competitor for gold,” he explained that “people are not using it as a form of payment or as a store of value.”
There has been a dramatic change in perspective. Bitcoin surpasses, and the whole digital asset ecosystem is about to break into the mainstream of finance, according to Galaxy Digital CEO Mike Novogratz, who spoke with CNBC after four years of political limbo.
Almost everyone anticipated that Bitcoin would hit the historic $100,000 threshold after the US presidential election. Bitcoin, however, surged to a high of $99,849.99 on November 22nd, thanks to enthusiastic investors who pushed the cryptocurrency closer to this milestone than originally expected.
Trump’s Pro-Crypto Policies on the Horizon
Many are hoping that in the coming year, Trump will implement several pro-crypto policies, such as a national strategic bitcoin reserve or stockpile, the elimination of taxes on cryptocurrency transactions, and the expansion of the Crypto public equities markets through the issuance of additional initial public offerings.
Novogratz added, “I’m bullish over the long term.” Investors should always consider cashing out their gains, as the market’s rise won’t be linear. It will be difficult for the rest of the globe to ignore the impending inauguration of a pro-crypto administration in the United States.
Final Thoughts
Bitcoin’s rise past $100,000 marks a significant shift from anti-establishment origins to mainstream financial acceptance. With growing institutional adoption and potential pro-crypto policies under a future Trump administration, Bitcoin’s value is expected to continue rising. Despite volatility, the long-term outlook remains positive as Bitcoin is closer to being recognized as a digital gold equivalent. However, investors should be mindful of market fluctuations.
FAQs
How has Bitcoin evolved in recent years?
Bitcoin has shifted from an anti-establishment asset to a mainstream investment, supported by major institutions like BlackRock and Fidelity and growing regulatory clarity.
What role does Trump’s SEC nomination play in Bitcoin's rise?
Trump's appointment of Paul Atkins is seen as a step toward pro-crypto policies, which could positively impact Bitcoin's future growth and regulatory environment.
Why do some experts predict Bitcoin could reach $200,000 by 2025?
Analysts believe that growing institutional adoption, along with favorable regulatory changes, could push Bitcoin’s price to $200,000 in the next few years.
What should investors be cautious about regarding Bitcoin's price?
While Bitcoin’s future looks promising, investors should remain cautious of market volatility and consider cashing out profits during price surges.
