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Bitcoin Breaks $100,000 Barrier as Trump’s Pro-Crypto Agenda Takes Shape

Bitcoin has shattered a historic milestone, surging past $100,000 for the first time on Wednesday. The unprecedented rally follows President-elect Donald Trump’s announcement of key administration picks, signaling a potential seismic shift in U.S. crypto policy. The move has sent shock waves through the cryptocurrency world, as investors and enthusiasts alike anticipate a new era of crypto-friendly governance.

The surge in Bitcoin’s value coincided with Trump’s announcement that Paul Atkins, a vocal cryptocurrency advocate and former SEC commissioner, would lead the Securities and Exchange Commission (SEC). Atkins is expected to adopt a lighter regulatory approach compared to outgoing SEC Chair Gary Gensler, who had been criticized for aggressively cracking down on the crypto industry.

Adding to the buzz, reports surfaced that Trump’s media company, Truth Social, is in talks to acquire Bakkt, a prominent cryptocurrency trading platform. This potential acquisition underscores the administration’s commitment to integrating cryptocurrency into broader economic frameworks.

Trump’s Turnaround: From Skeptic to Crypto Champion

Trump’s pro-crypto stance marks a dramatic shift from his earlier skepticism. In 2019, he dismissed Bitcoin as “not money” and “based on thin air.” Fast forward to his reelection campaign, and Trump has not only embraced the sector but actively courted its support.

At the largest crypto convention in Nashville this July, Trump pledged to establish a “strategic national Bitcoin stockpile” and halt the practice of auctioning seized Bitcoin. “If crypto is going to define the future, I want it to be mined, minted, and made in the USA,” he declared. His efforts paid off: the cryptocurrency industry funneled $131 million into supporting pro-crypto candidates during the midterms, while Trump’s campaign raised millions in Bitcoin donations.

Source: readwrite.com

Bitcoin’s climb past $100,000 caps a remarkable rally that began on November 6, the day Trump was projected to win the presidency. On that day alone, Bitcoin gained $6,000, reaching a new record of $74,000. It hit $90,000 a week later, before finally breaking the $100,000 mark just hours after Atkins was announced as SEC chair.

The cryptocurrency is now up 130% for the year, far outpacing traditional market benchmarks like the S&P 500, which has risen 28% over the same period. The rally has fueled optimism among crypto advocates, with some predicting even greater highs ahead. “If you like Bitcoin at $100,000, you’re going to love it at $1 million,” said Anthony Pompliano, a prominent crypto supporter.

Trump’s pivot toward crypto hasn’t been universally embraced. Federal Reserve Chair Jerome Powell has dismissed Bitcoin as a “speculative asset” and likened it to gold, emphasizing its lack of utility as a mainstream payment method. While Powell and other regulators remain skeptical, the cryptocurrency community is energized by the prospect of a friendlier regulatory environment. Reports suggest Trump is even considering creating a dedicated White House role for cryptocurrency policy, an unprecedented move that would further legitimize the sector.

Beyond Bitcoin’s soaring value, Trump’s embrace of cryptocurrency has significant implications for the U.S. economy and its role in the global financial system. By fostering a regulatory environment that encourages innovation, the administration could position the U.S. as a leader in blockchain technology, reducing reliance on foreign crypto mining hubs like China. Trump’s strategy aligns with his broader economic agenda, which emphasizes deregulation and American manufacturing. If successful, his policies could attract investment, create jobs, and cement the U.S.’s position in the rapidly evolving world of digital currencies.

As Bitcoin enthusiasts celebrate its historic milestone, questions remain about the sustainability of its meteoric rise. Market volatility, regulatory challenges, and broader economic uncertainties could temper the optimism.

However, Trump’s commitment to fostering a pro-crypto environment has undeniably reshaped the narrative. For now, Bitcoin’s ascent to $100,000 is more than just a financial milestone—it’s a signal that the digital currency era is entering a new, potentially transformative phase.

 

By Ioana Constantin

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