Bitcoin touched a fresh record high on Friday, with its sights set firmly on the $100,000 barrier, in a stellar rally for the cryptocurrency sparked by expectations of a more friendly regulatory environment under a Donald Trump administration.
It has more than doubled in value this year and is up about 45% since Trump’s sweeping election victory on Nov.5, which has also seen a slew of pro-crypto lawmakers being elected to Congress.
The cryptocurrency was last up just over 1% on the day at $99,380 , and is on track for its best monthly performance since February.
Its surge has made bitcoin one of the stand-out winners of so-called “Trump trades” – assets that are seen as winning or losing from Trump’s policies.
The cryptocurrency also appears on the cusp of mainstream acceptance since its creation 16 years ago. The approval of U.S.-listed bitcoin exchange-traded funds in January this year have helped boost the market.
“The longer it survives it is taken more seriously, that’s just the reality of things,” said Shane Oliver, chief economist and head of investment strategy at AMP Sydney.
“As an economist and investor I find it very hard to value it…it’s anyone’s guess. But it does have a momentum aspect to it and at the moment the momentum is up.”
Indeed, bitcoin is up around 130% this year.
Trump embraced digital assets during his campaign, promising to make the United States the “crypto capital of the planet” and to accumulate a national stockpile of bitcoin
The world’s biggest cryptocurrency has become one of the most eye-catching market movers in the weeks since the election of Donald Trump, gaining around a third in value since Nov. 5.
Crypto investors see an end to increased scrutiny under U.S. Securities and Exchange Commission Chair Gary Gensler, who said on Thursday he would step down in January when Trump takes office.
Under Gensler, the SEC sued exchange Coinbase , Kraken, Binance and others, alleging that their failure to register with the agency violated SEC rules, accusations the companies deny and are fighting in court.
Source: www.reuters.com