Bitcoin has reached a new all-time high, continuing a remarkable rally that has propelled the cryptocurrency’s price by over 50% following Donald Trump’s election victory on November 5.
On Monday, the world’s largest cryptocurrency briefly surged past $106,000 (£83,890) before retreating to approximately $105,000 during trading in Asia.
The forthcoming Trump administration is perceived as significantly more supportive of cryptocurrencies than the Biden administration.
On Thursday, the president-elect of the United States emphasised his contemplation of establishing a national stockpile for digital currency akin to the nation’s strategic oil reserve.
“Since the election, Bitcoin has experienced a parabolic rally, with the fear of missing out driving increased momentum,” stated Peter McGuire from trading platform XM.com in an interview with the BBC.
“A significant number of investors are optimistic that the price could reach $120,000 by the year’s end, with projections for 2025 suggesting it may exceed $150,000 by mid-year.”
Earlier this month, former President Trump appointed Silicon Valley entrepreneur David Sacks to oversee artificial intelligence and cryptocurrency matters.
Mr. Sacks, a former executive at PayPal, maintains a close friendship with Elon Musk, a prominent adviser to Trump and a significant donor.
Former President Trump has announced his intention to nominate Paul Atkins, a Washington attorney known for his pro-cryptocurrency stance, to lead the Securities and Exchange Commission (SEC), the key regulator overseeing Wall Street.
In a significant announcement last month, Gary Gensler, the current head of the SEC, revealed his intention to step down from his position coinciding with Trump’s inauguration on January 20 of the upcoming year.
President Biden has been thanked for the trust placed in me regarding this significant responsibility. Mr Gensler stated on the social media platform X that the SEC had fulfilled its mission and upheld the law impartially.
Former President Trump had earlier disclosed intentions to dismiss Mr. Gensler on the first day of his new administration, following the SEC chairman’s legal actions against cryptocurrency companies, which ignited debate in certain circles.