Bitcoin price surged to an all-time high of $109,350.72 on Monday but subsequently dropped following President Donald Trump’s inauguration. The cryptocurrency rose by over 4% in a single day, reaching its highest point since its inception.
The surge was attributed to speculation about potential changes in US crypto regulation under the new administration. Many believed that Trump might announce an executive order on crypto, which could lead to more supportive regulations and increased adoption of the digital asset.
However, following the inauguration, Bitcoin price dropped by over 2% to $103,558.38. Analysts such as Gracy Chen and Joel Kruger attributed this drop to “buy the rumor sell the news” effect, where investors sold their shares after the initial hype died down.
Despite the volatility, meme coins launched by Trump and his wife Melania have attracted significant attention and investment. The “Official Trump” meme coin has a market capitalization of over $10 billion, while Melania’s “Melania” meme coin has a value of $7.2 billion.
Analysts believe that these launches could be a sign of the incoming administration’s positive stance towards crypto regulation and adoption. Bitcoin’s new record price has raised hopes for further upside extension to $130,000.
Source: https://www.cnbc.com/2025/01/20/bitcoin-jumps-to-a-new-record-as-traders-cheer-trump-inauguration-meme-coins.html