Bitcoin surged above USD 100,000 for the first time on Thursday, a milestone celebrated even by sceptics as a significant moment for cryptocurrencies. This rise comes as investors anticipate a favourable US administration to help establish a solid position for cryptocurrencies in financial markets.
The total value of the cryptocurrency market has nearly doubled this year, reaching a record high of just under USD 3.8 trillion, according to data provider CoinGecko. For context, Apple alone is valued at about USD 3.7 trillion.
Bitcoin’s journey from the libertarian fringe to mainstream acceptance on Wall Street has created millionaires, introduced a new asset class, and popularised the idea of “decentralised finance” during a volatile and often controversial 16-year history.
Bitcoin has more than doubled in value this year and has risen over 50% in the four weeks since Donald Trump’s significant election victory, which also resulted in the election of several pro-crypto lawmakers to Congress.
After surpassing USD 100,000 early Thursday morning in Asia, Bitcoin quickly climbed above USD 103,000 on its way to an all-time high of USD 103,619, marking a surge of approximately 6% for the day. Its latest value was USD 101,933.
During an interaction with Zawya, Mike Novogratz, founder and CEO of US crypto firm Galaxy Digital, said, “We’re witnessing a paradigm shift. Bitcoin and the entire digital asset ecosystem are on the brink of entering the financial mainstream – this momentum is fuelled by institutional adoption, advancements in tokenisation and payments, and a clearer regulatory path.”
During the election campaign, Donald Trump spoke in favour of digital assets and vowed to make the US “crypto capital of the planet”.
Joe McCann, CEO and founder of Asymmetric, a Miami digital assets hedge fund, said, “We were trading basically sideways for about seven months, then immediately after November 5, US investors resumed buying hand-over-fist.”
A couple of days back, Donald Trump claimed that he would nominate Paul Atkins to run the Securities and Exchange Commission.
Atkins, a former SEC commissioner, has actively participated in crypto policy as the co-chair of the Token Alliance, an initiative aimed at developing best practices for digital asset issuances and trading platforms. He is also involved with the Chamber of Digital Commerce.
Blockchain Association CEO Kristin Smith said, “Atkins will offer a new perspective, anchored by a deep understanding of the digital asset ecosystem. We look forward to working with him…and ushering in – together – a new wave of American crypto innovation.”
Several crypto companies, including Ripple, Kraken, and Circle, are competing for a position on the crypto advisory council that Trump has promised to establish.