Bitcoin is on a rampage amid high hopes that it could continue strengthening.
The market is betting that the pioneering crypto asset might set a new target of $100,000 before the inauguration of President Donald Trump, who just a few days ago won the presidency.
Trump’s election win has empowered the crypto ecosystem, with Bitcoin reaching an all-time high above $76.5K after the Republican president’s victory, amid bullish sentiments in the crypto sector.
Trump’s push has propelled Bitcoin to its highest point ever, peaking above the $76K mark on November 7. This recent increase could be just the beginning, as the results suggest that the United States will have its first-ever pro-crypto president.
Trump’s victory effect on the rise
Bitcoin (BTC) has risen by 14% since Trump’s victory, with an increase of over 21% in the past month and a doubling of its value over the past year.
- At the start of the year, the cryptocurrency community had high hopes for Bitcoin, especially after the U.S. Securities and Exchange Commission (SEC) approved the first cryptocurrency-based exchange-traded fund (ETF) in January. In just three months, Bitcoin hit the $73,000 milestone.
- Market fundamentals suggest that the election of the first proponent of Bitcoin to the White House could help Bitcoin surpass its current status quo. According to one report, Bitcoin could reach $100,000 before Trump’s inauguration, following his election earlier this week.
- Other top altcoins, including meme tokens and tokens of decentralized exchanges, have also seen a boost of over 10% amid the surge following Trump’s presidency.
- The correlation between the rise in both the bond and U.S. stock markets is being referred to as the “Trump trade.”
“BTC has now gone through three election cycles since its establishment in 2009, all of which resulted in skyrocketing growth that couldn’t return to pre-election levels,” QCP Capital traders said late Tuesday on their Telegram channel. “As we move into 2025, we anticipate that this bullish momentum will continue to be robust,” QCP added.
Bernstein, a global investment firm, believes Bitcoin may reach $200,000 by 2025. The demand for hard assets has increased due to record debt levels, monetary expansion, and a lack of U.S. budgetary restraint, according to Bernstein’s analysts.
“With sufficient opportunity for expansion, the trend will further push spot Bitcoin ETFs’ successful momentum,” the firm reported.
The sentiment aligns with Bitcoin’s overall trajectory this year.
Additionally, Trump’s election had a significant impact on Bitcoin ETFs. Following his victory, the investment vehicle saw its highest-volume day ever. In particular, after the Associated Press called the race, over $4.1 billion was traded.
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