Bitcoin soared to a record high, fueled by President-elect Donald Trump’s support for the digital asset and his plan to turn the US into a dominant force in the sector.
At one point in Asia on Monday, the largest token rose more than 3 percent to an unprecedented $106,493, higher than its previous peak since Dec. 5. The advance helped boost sentiment in the broader crypto market.
Trump is moving to create a friendlier regulatory landscape for digital assets, reversing crackdowns imposed by the outgoing administration of President Joe Biden. Republicans have also supported the idea of a strategic national bitcoin repository, although many question the feasibility of the latter idea.
Aya Kanturovic, co-founder of institutional crypto platform August, said on Bloomberg Television that many people are “pinning their expectations on a more favorable administration.” He added that this optimism is reflected in the demand for exchange-traded funds that invest in digital assets.
On Friday, Nasdaq Global Index said Bitcoin aggregator MicroStrategy Inc. will be included in the Nasdaq 100 index. The software maker’s metamorphosis into a leveraged bet on bitcoin has changed Wall Street. The company is raising capital to plow billions of dollars into digital assets.
Bitcoin consolidated its seven-week winning streak through Sunday, the longest such run since 2021. But the pace of gains cooled recently, which could signal that “a pullback is on the way,” wrote IG Australia Pty market analyst Tony Sycamore. A note
The native cryptocurrency traded at $106,215 as of 8:39 a.m. Monday in Singapore. Smaller tokens like second-place Ether, XRP and meme crowd favorite Dogecoin are also on the rise.
US ETFs that invest directly in Bitcoin have seen net inflows of $12.2 billion in Bitcoin since Trump’s victory. Presidential elections On November 5. Similar product subscriptions for Ether have reached $2.8 billion over the same period.