The cryptocurrency market is buzzing with excitement as Bitcoin inches closer to the $100,000 milestone. This surge is largely attributed to the belief among crypto enthusiasts that the incoming US President, Donald Trump, will create a more favorable regulatory environment for digital assets.
Since Trump’s re-election on November 5, the world’s most popular digital currency has seen a remarkable rise, reaching a high of $99,073 on Thursday. This represents a 60% increase since election day, as investors anticipate a more relaxed approach towards the use of cryptocurrencies under Trump’s administration.
Despite previously labeling Bitcoin as a “scam” during his first term, Trump has accepted campaign donations in cryptocurrency and has even pledged to make the US the “crypto capital of the planet.” In addition, he has announced plans to accumulate a national bitcoin reserve and, along with his three sons, launched their own crypto business, World Liberty Financial, in September. These actions have been seen as a positive indication of the president-elect’s belief in the potential of the crypto sector.
In another positive development for the industry, the United States Securities and Exchange Commission (SEC) chair, Gary Gensler, who was known for his strict enforcement actions against the sector, has confirmed that he will step down in January. This news has been welcomed by crypto investors, as Trump had previously promised to remove Gensler from his position on “day one” of his administration.
While Bitcoin and other cryptocurrencies are seen by many as a path to financial freedom and high returns, they are also known for their volatility and have faced government crackdowns in various parts of the world. After reaching an all-time high of $69,000 in late 2021, Bitcoin experienced a sharp decline to less than $16,000 over the following year. However, it has since bounced back and surpassed its previous peak in March, with a gain of over 300% since November 2022.
Despite the potential risks, the growing popularity of cryptocurrencies cannot be ignored. With Trump’s upcoming presidency and the possibility of a more favorable regulatory environment, the future looks bright for the crypto market. As always, it is important for investors to stay informed and make educated decisions when it comes to investing in digital assets.