Bitcoin surges above $107,000 on US strategic reserve hopes crypto news
Bitcoin’s record rally above $107,000 after United States President-elect Donald Trump reiterated that he plans to create a US Bitcoin strategic reserve similar to the country’s strategic oil reserve, boosting crypto bulls’ enthusiasm It’s done.
Bitcoin, the world’s largest and most famous cryptocurrency, rose to a session high of $107,148 and was recently at $106,877, up 5.43 percent from late Friday. The number two digital currency, Ethereum or Ether, was up 1.85 percent at $3,975.70.
“We’re in blue sky territory here,” said Tony Sycamore, an analyst at IG, an online trading provider. “The next figure the market will look for is $110,000. The pullback that many were waiting for did not happen, because now we have this news.
Bitcoin and crypto have been thrust into the spotlight as investors bet that the incoming Trump administration will usher in a friendlier regulatory environment, boosting sentiment around the alternative currency. Bitcoin is up almost 150 percent in 2024.
“We’re going to do something great with crypto because we don’t want China or anyone else — not just China but others adopting it — and we want to be dominant,” Trump told CNBC late last week. “
Asked if he planned to create a crypto reserve similar to oil reserves, Trump said: “Yeah, I think so.” He had advocated the same move earlier this year.
According to data provider CoinGecko, governments around the world held 2.2 percent of the total supply of Bitcoin as of July, while the US held about 200,000 Bitcoins, which are worth more than $20 billion at current levels.
Data site Bitcoin Treasuries showed that China, the United Kingdom, Bhutan and El Salvador are other countries holding large amounts of Bitcoin.
Other countries are also considering cryptocurrency strategic reserves.
Russian President Vladimir Putin said earlier this month that many countries were turning to alternative assets, including cryptocurrencies.
For example, Bitcoin, who can ban it? Nobody,” Putin said.
However, there is skepticism after Federal Reserve Chairman Jerome Powell compared Bitcoin to gold earlier this month. Analysts also say that any such step will take time to implement.
“I think we still need to be cautious on the BTC strategic reserve, and at least consider that this is unlikely to happen in the near future,” said Chris Weston, head of research at trading platform Pepperstone.
“Of course, any comments from Trump that provide an increased degree of hope that plans for the strategic reserve are being developed is a clear counterfactual, but it will have consequences that will need careful consideration and consideration by market players.” Will need to be well informed,” he said. Said.
crypto boost
Bitcoin has gained more than 50 percent since the November 5 US vote, in which Trump was elected to office along with several other pro-crypto candidates. The total value of the cryptocurrency market has nearly doubled so far in the past year, reaching a record high of more than $3.8 trillion, according to CoinGecko.
Trump – who once labeled crypto a scam – embraced digital assets during his campaign, promising to make the US the “crypto capital of the planet.”
Trump this month nominated the White House czar for artificial intelligence and cryptocurrency, former PayPal executive David Sachs, a close friend of Trump adviser and megadonor Elon Musk.
Trump also said he would nominate pro-crypto Washington lawyer Paul Atkins to head the Securities and Exchange Commission.
On Friday, exchange operator Nasdaq said MicroStrategy, led by Chief Executive Michael Saylor, would be added to the Nasdaq-100 index, a change that will take effect before the market opens on Dec. 23.
MicroStrategy, an aggressive investor in the world’s largest crypto asset, has seen its shares rise more than sixfold this year, giving it a market value of about $94 billion. It is now the largest corporate holder of the cryptocurrency.
Matthew Dibb, Crypto’s chief investment officer, said, “This inclusion seems a bit unexpected, but that hasn’t stopped the enthusiasm for the beginning of a looping cycle of capital, which could potentially drive up the spot Bitcoin price.” Asset manager Astronaut Capital.
MicroStrategy shares were up 4.2 percent on Monday.
