(Bloomberg) — Bitcoin has spent the weekend trading well below the all-time high of $100,000 so far, once again dashing enthusiasts’ hopes that the oldest digital asset would cross that mark. important financial – and psychological – threshold.
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Cryptocurrencies ranging from Bitcoin to memecoins have been booming since Donald Trump was elected to a second term in the White House. Investors are betting on more favorable regulation in the United States and an expansion in general public interest and awareness, driven by the president-elect’s avowed support for crypto. The crypto market as a whole has gained around $1 trillion since Trump’s election victory.
But the momentum was not enough for the largest crypto token to achieve another major milestone. While Bitcoin was within $300 of the $100,000 mark on Friday afternoon, it seemed incapable of surpassing $99,000 on Saturday.
Inflection point
Trump’s transition team has begun discussing whether to create a new White House position dedicated to digital asset policy, Bloomberg reported earlier. Crypto is seeking a direct line to the president-elect, who has shed his previous skepticism about digital assets and is now seen as an industry cheerleader.
This perceived inflection point in the official U.S. attitude toward crypto is spreading to Wall Street. New Charles Schwab Corp. CEO Rick Wurster said Thursday the company will move into spot crypto trading once regulatory changes materialize.
Bitcoin accumulator MicroStrategy Inc.’s plans to accelerate purchases of the token and the launch of options on U.S. Bitcoin exchange-traded funds also boosted sentiment this week.
“We can focus on the announcement of SEC Chairman Gary Gensler’s resignation on January 20, large inflows into ETFs and the role options play in driving up prices, but he “This is a real momentum rally, and $100,000 is acting like a magnet,” Chris Weston, head of research at Pepperstone Group, wrote in a note.
Proponents of Bitcoin’s claimed role as a modern store of value cherish the $100,000 level as a symbolic rebuttal to skeptics who see little use in crypto and denounce its ties to crime. Although the token’s price has more than doubled this year, many experts still question its suitability for investment portfolios.
