Bitcoin’s price has more than doubled this year and is up about 40% in the two weeks since President-elect Donald Trump was voted in as US president. Investors are optimistic that a friendlier regulatory approach under Trump will unleash a boom era for cryptocurrencies.
Bitcoin prices topped $98,000 for the first time during European trading on Thursday. The cryptocurrency’s price has been fueled by a strong showing of pro-crypto lawmakers elected to Congress and promises from Trump to make the US “crypto capital of the planet.”
Crypto-related stocks have also surged, with shares in bitcoin miner Mara Holdings rising nearly 14% overnight and MicroStrategy increasing 10%. The optimism is reflected in call options on BlackRock’s ETF, which showed a strong debut this week.
Analysts say that while some caution is needed due to Bitcoin being “firmly into overbought territory,” the asset class is being drawn toward the $100,000 level. Some see Trump’s regulatory approach as bringing much-needed clarity for the crypto community, which could benefit the entire blockchain-enabled ecosystem.
Source: https://www.reuters.com/technology/bitcoin-breaks-95000-first-time-optimism-over-trump-crypto-plans-2024-11-21