Bitcoin reached an unprecedented high above $106,000 Monday, continuing a dramatic post-election surge that has seen the cryptocurrency’s value increase more than 50% since Donald Trump’s November 5 victory.
The digital currency’s rally reflects market optimism about the incoming administration’s cryptocurrency-friendly stance, including Trump’s proposal to establish a national Bitcoin stockpile similar to the strategic oil reserve.
Trading expert Peter McGuire of XM.com suggests the momentum could push Bitcoin to $120,000 by year-end and potentially $150,000 by mid-2025.
Trump’s appointment of David Sacks, a former PayPal executive and associate of Elon Musk, as AI and cryptocurrency tsar signals a significant shift in federal crypto policy.
The president-elect has also named pro-cryptocurrency attorney Paul Atkins as his choice to lead the Securities and Exchange Commission, replacing current chairman Gary Gensler.
Gensler, who announced his resignation effective January 20, had faced criticism for his regulatory actions against cryptocurrency firms, actions Trump has publicly opposed.
The incoming administration’s anticipated regulatory changes have contributed to the current “fear of missing out” rally in cryptocurrency markets.
