Bitcoin Hit $81,000 for First Time as Trump Shatters Crypto Ceiling
With Trump in office, there appears to be no ceiling for Bitcoin. Having exceeded historical highs since its appointment, the currency not only did not stop its growth, but also continued its uncontrolled growth. Thus, after soaring by 10.64% during the week, this Monday win $81,197 rising in price by 2.61% (on Sunday it rose another 5%). This is the first time the currency has surpassed $81,000. One of the biggest headwinds for the currency for some time has been the prospect of tighter regulation from the Joe Biden administration. Trump took a radical turn, saying he would support more deregulation.
“I will ensure that the future of cryptocurrencies and Bitcoin is created in the USA… I will support the right self-care for the 50 million Americans who own cryptocurrencies. And I will keep Elizabeth Warren and his bullies away from your Bitcoin. And I will never allow the creation of a central bank digital currency (CBDC), Trump explained at one of his rallies. From eToro they comment that “measures such as the stablecoin bill, redefining crypto assets to avoid strict trading rules are expected. securities and possible changes in SEC guidance that promote adoption. Awaiting greater regulatory clarity, Bitcoin is reaching new highs.
Julius Baer agrees that legislative changes are a great explanation for this crypto-reaction to Trump’s rise. “Everything was focused on Bitcoin and Solana.” In a legal context, “it will have a greater impact on autocystody and stablecoins.” For the Swiss firm, this explains why Ethereum has grown slightly less, given that “it is less subject to regulation.” “Beyond the election, dollar liquidity is rising and the end of quantitative tightening should pave the way for an improving bullish trend in crypto markets.” In any case, Julius Baer argues that the sector will continue to grow from the currencies themselves to the miners.
In any case, while the movements so far have been driven by Donald Trump’s arrival in the White House, as the majority in Congress appears increasingly secure, momentum in the crypto sector is accelerating. “Republicans look set to take control of Congress, allowing the new administration to pursue policies supporting digital assets soon after taking office,” Standard Chartered commented on Monday.
In addition to the legal factor, Trump promised the dismissal of current SEC Chairman Gary Gensler. Apart from major investigations against firms in the sector, this manager has always been skeptical of the crypto sector. “It’s unlikely that this will become a currency,” he commented during a visit to New York University in early October. And regarding the industry, he assured that “with all due respect, its leaders are either in prison or awaiting extradition.”
As for what to do about the sector’s legal challenges, Gensler made it clear: “The nature of this market is that it plays to the edge, and sometimes we have to take enforcement action to get people back on the right side. This is why Gensler became a declared enemy of the industry.
Beyond Bitcoin today, Ethereum fell 0.7% (after rising 25% last week). Solana shares rose 2.75%. For its part, Coinbase shares rose 14.26% in the hours before the listing. RobinHood, one of the apps that retailers use to transact cryptocurrency, also rose 6.36%.
LinkedIntoo loud