Bitcoin crossed the $100k milestone earlier after bouncing between the $90k to $99k range, leading to much fanfare in the crypto market.
Bitcoin reached US$100,000 for the first time ever on 5 Nov. Propelled by surging demand and optimism following news of president-elect Donald Trump electing Paul Atkins, a former commissioner at the US Securities and Exchange Commission, as the new head of the financial watchdog.
Paul Atkins will be replacing Gary Gensler, fuelling bullish sentiments of upcoming pro-crypto policies, with advocates anticipating relaxed regulations, wider acceptance by traditional financial institutions, and enhanced profitability for Bitcoin mining.
Since November 5, Bitcoin’s price has surged by 45%, doubling its value year-to-date. The $100k milestone underscores Bitcoin’s evolution from its origins as a theoretical whitepaper by Satoshi Nakamoto, to a central pillar of the cryptocurrency ecosystem.
Bitcoin exchange-traded funds (ETFs), particularly BlackRock’s iShares Bitcoin Trust (IBIT), have played a key role in driving demand. Since its January launch, IBIT has grown to $45 billion in value, with $4.1 billion added in the past month alone. BlackRock’s head of thematic and active ETFs attributes the rise to increasing interest in Bitcoin as a hedge against inflation and geopolitical risks.
Trump’s election to office for a second term is also largely responsible for the exuberance in the crypto markets. Previously skeptical about cryptocurrencies, his campaign promises included having a U.S. Bitcoin reserve, and expressed ambitions to establish the U.S. as the global crypto leader.
As mainstream adoption accelerates, Bitcoin’s role as both an asset and a symbol of financial innovation appears poised for further growth.
