According to CoinMetrix, the flagship cryptocurrency was last traded up 5% at $95,886.00, while the sky jumped more than 7% to $3,555.82. The broader crypto market, as measured by Coin Desk 20 The index rose 5 percent.
Although Bitcoin is widely viewed as a store of value and a digital alternative to gold, the cryptocurrency often trades alongside the stock market. On Wednesday, however, it tied with the tech-heavy Nasdaq Composite, which was down 1 percent. The Dow Jones Industrial Average and the S&P 500 also fell.
Coin base Bitcoin rose more than 2 percent after it was lifted along with other crypto stocks. Robin Hood — which offers crypto trading and is seen as a beneficiary of a more crypto-friendly environment in the incoming Trump administration, rose 4%. Micro strategywhich trades as a proxy for bitcoin, rose 7%.
Bitcoin has been hitting record highs regularly since the November 5 election, up nearly 38% in that time. On Friday, it rose to $99,849.99 before testing the $90,000 support level this week.
“The bitcoin bull market has legs,” Alex Thorne, head of firmwide research at Galaxy Digital, said in a report Wednesday. “There will be reforms and hiccups, which is normal. There may also be some twilight regulatory or law enforcement actions by the outgoing Biden administration that shake up the markets. An administration that is very pro- Bitcoin is shaping up, and solid positioning and network data all point to upside in the near to medium term.”
Fairlead Strategies’ Katie Stockton told CNBC “The Squawk Box“Monday said that, at current levels, bitcoin investors are in “uncharted territory where there is resistance — which of course has none.” Meanwhile, support is around $74,000. Bitcoin’s first Reached $92,000 for just two weeks ago, on November 13th.
“Bitcoin has a tendency to stair-step down and up, meaning it sees these very sharp run-ups and then consolidates,” he said. “People should be willing to give … Bitcoin, and cryptocurrencies in general, have more room — because of the volatility there and because of the long-term potential.”
Bitcoin is up 124% for the year and is still widely expected to hit the $100,000 milestone before the year is out. Ether, the best performer since the election, has trailed bitcoin on a year-to-date basis with a 55% gain.