Bitcoin’s price has reached a record high of $108,000 for the first time on Tuesday, driven by speculation that President-elect Donald Trump may establish a U.S. strategic Bitcoin reserve. This news has sparked enthusiasm among investors and cryptocurrency enthusiasts.
Trump discussed a possible $20 billion Bitcoin reserve during his campaign, with some suggesting it could be funded through an executive order. Industry insiders have proposed various ways to implement this, including the use of the Exchange Stabilization Fund.
As a result, several cryptocurrency-related stocks have seen significant gains, including MicroStrategy (MSTR), which is set to join the Nasdaq 100 index on December 23. MSTR’s stock surged by up to 7% in Monday trading before closing fractionally lower.
Other notable movers include Coinbase Global (COIN) and Robinhood Markets (HOOD), both of which saw significant price increases. Bitcoin itself has risen around 156% this year, with its outstanding value now exceeding $2.1 trillion.
While the news is promising for investors, it’s essential to note that any concrete plans are still unclear. Nonetheless, the possibility of a U.S. strategic Bitcoin reserve has sent shockwaves through the cryptocurrency market, driving prices higher and fueling enthusiasm among fans of the digital currency.
Source: https://www.investors.com/news/bitcoin-price-microstrategy-nasdaq-100-strategic-reserve-fund