Bitcoin Surpasses $100,000 Amid Surging Interest Linked to Trump Rally


December 05, 2024 Tags:

Bitcoin has shattered expectations, reaching an unprecedented $100,000 on Wednesday. The surge came as investors reacted to signals that President-elect Donald Trump’s administration could usher in a more crypto-friendly regulatory environment. The announcement of Paul Atkins as the pick to chair the Securities and Exchange Commission (SEC) ignited fresh enthusiasm in the crypto market. Atkins, known for supporting digital assets, has been hailed as a potential game-changer for the industry.
A Crypto-Driven Cabinet Pick

Trump’s choice of Atkins, a former SEC commissioner and CEO of Patomak Global Partners, fuelled speculation about a dramatic shift in crypto policies. Trump praised Atkins on Truth Social, calling him a “proven leader” who understands the importance of digital innovations in boosting America's global standing. Atkins’ nomination has drawn bipartisan acknowledgement, with Senator Kirsten Gillibrand noting that his expertise could guide the development of federal crypto legislation.

Investor Excitement Builds

Since Trump’s electoral win last month, Bitcoin has surged by more than 40%, hovering near $101,000 in early trading Thursday. Optimism grew after the SEC announced that Gary Gensler, known for his stringent regulatory stance on crypto, would step down on January 20, the day of Trump’s inauguration. Wall Street analysts, including Owen Lau of Oppenheimer, predict Atkins will adopt a more lenient approach, signalling a "regime shift" that could transform crypto regulations from restrictive to growth-oriented.

Strategic Moves and Market Impacts

The rally is also driven by reports that Trump’s transition team is exploring the creation of a White House "crypto czar" role to oversee Bitcoin policies. Additionally, rumours of Trump Media & Technology Group negotiating a deal with crypto trading firm Bakkt are sparking hopes for broader institutional adoption of digital currencies.

Bitcoin's rising momentum is further supported by strong inflows into spot exchange-traded funds (ETFs), including BlackRock’s ETF, which launched trading options on Nasdaq in November. These developments have pushed Bitcoin trading volumes and bolstered market confidence.

A Word of Caution

Despite the euphoria, market analysts urge caution. Lau warned that reaching the $100,000 milestone might attract selling pressure, as traders look to cash in on profits. “Be mindful of volatility and potential pullbacks as the market seeks its next breakout level,” he said.

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

You may also like

Wall Street Eyes Market Dips, But When Will It Be Safe to Buy?

The U.S. stock market is wrapping up one of its roughest quarters since the 1980s, trailing global markets by the....

Energy Stocks Boost S&P/TSX, U.S. Markets Mixed Ahead of Tariffs

Canada’s main stock index climbed on Monday, driven by gains in energy and industrial shares as oil prices surged. Meanwhile,....

Canada’s Economy Faces Slowdown as Tariff Pressures Rise

The Canadian economy started 2025 with momentum but is now losing steam due to harsh winter conditions and the looming....

Markets Slide 400 Points as Tariff, Inflation Fears Grow

Canadian and U.S. stock markets took a sharp dive on Friday as investors reacted to concerns about inflation and looming....

Stock Markets React as U.S. Auto Tariff Plans Shake Industry

Canada’s stock market remained unchanged on Thursday, while U.S. markets saw a dip following President Donald Trump’s announcement of new....

GameStop’s Bold Bitcoin Move Sparks Market Concerns

GameStop’s stock took a nosedive on Thursday after the company announced a controversial plan to sell debt and use the....

ICBC Announces $110 Rebates for Eligible Drivers

Many ICBC customers will soon receive $110 rebates, as the auto insurer distributes a new round of refunds. The rebates,....

Wall Street Holds Steady as Trump Media Soars Despite Market Uncertainty

Wall Street showed resilience on Tuesday, following a strong surge the previous day fueled by optimism that President Donald Trump’s....

S&P/TSX Gains as Metal Stocks Rise; U.S. Markets Also Up

Canada’s stock market saw a steady rise in late-morning trading, driven by gains in base metal stocks. The S&P/TSX composite....

Trump’s Tariff Shift Shakes U.S. Treasury Market

U.S. Treasury bonds took a hit as investors shifted toward riskier assets following reports that President Donald Trump’s upcoming tariffs....

Trump’s Trade War Reshapes Canada’s 2025 Election Debate

The rising cost of living has been a major issue for Canadians, and with the federal election on the horizon,....

Stock Markets Gain as Investors Eye Targeted US Tariffs

Stock futures in the US and Europe climbed on hopes that the next wave of tariffs from President Donald Trump’s....