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Bitcoin (BTC) rose above $99,000 on Thursday, setting a new milestone before easing slightly. The milestone follows substantial political and market events that have increased investor confidence in digital assets.
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Rumors about the chairman of the Securities and Exchange Commission (SEC). Gary Gensler’s departureas well as Donald Trump’s future crypto-friendly policies, have fueled excitement in the crypto space.
Inspired by the hope of a possible change in US financial policy, Bitcoin rose to $99,126 from a gloomy start to the session. Investors still think $100,000 is on the horizon, especially given cryptocurrencies’ roughly 40% surge following Trump’s projected re-election win earlier this month.
A pro-crypto administration?
Reports indicate that the Trump administration is considering the creation of the first crypto policy job, which could signal a sea change in the way regulations are passed. Many think that the SEC will become more open-minded after Gensler leaveswhich has long been a point of contention within the crypto community.
On January 20, 2025 I will say goodbye as @SECGov Chair.
A thread 🧵⬇️
— Gary Gensler (@GaryGensler) November 21, 2024
Galaxy Digital CEO Mike Novogratz expressed his hope for this change, noting that the Trump team’s energy is very different, that they are pro-crypto and pro-blockchain and see the promise that Bitcoin brings . He claimed that the government’s desire to build a national Bitcoin supply and giving top priority to blockchain innovation will give the market even more power.
Business moves add fuel
The Financial Times has reported that Trump Media & Technology Group (DJT) is in talks to acquire Bakkt, a cryptocurrency exchange. This potential collaboration could bring cryptocurrency into a larger technological framework, making it more accessible and widespread.
Such developments contribute to the broader story of institutional adoption, which has been a crucial driver in previous bull cycles. The market reaction shows an increasing view that Bitcoin is willing to play a greater role in both the private and public sectors under favorable regulations.
#Bitcoin looks like it did in December 2020. Even the RSI is almost identical. If it’s true, $BTC goes to $108,000, drops to $99,000 and bounces to $135,000! pic.twitter.com/hsIBWBVGnl
— Ali (@ali_charts) November 20, 2024
Analysts predict new highs
Meanwhile, crypto expert Ali Martinez said Bitcoin’s current rise bears strong similarities to its rise in late 2020. This analyst’s research suggests Bitcoin will rise to $108,000 before falling to $99,000 and then rising to $135,000.
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Key data including daily active addresses – which surpassed 475K – and higher social volumes of 380K support this projection. These trends mirror the breakout of 2020, when Bitcoin more than doubled within a few weeks.
Next Gensler’s resignationBitcoin’s price can be determined by the position of its successor. A pro-crypto leader could encourage adoption and push Bitcoin above $100,000, paving the way for a prolonged bull run. However, regulatory changes and market attitudes will be important factors.
Featured image of DALL-E, chart from TradingView