As newly elected President Donald Trump approaches his inauguration on January 20, the cryptocurrency market has seen a significant rise, with Bitcoin reaching a high. all-time high of $104,000 on December 5.
This increase, nearly 50% since Trump’s election, has raised expectations of a new era for crypto regulation in the United States. Sources close to Trump indicate that he aims for Bitcoin to reach a $150,000 milestone during his second term.
The ‘Trump trade’
According to a recent report from AXIOS, Trump has promised a “golden age for America,” and the rise of cryptocurrencies is seen as part of this vision. The “Trump trade,” a term used by investors profiting from the new administration, includes sectors such as oil and gas, financial services and crypto.
Trump’s enthusiasm for Bitcoin was clearly reflected in a recent post on Truth Socialwhere he congratulated Bitcoin investors on reaching the $100,000 mark and declared, “YOU ARE WELCOME!!!”
With an eye to promoting a crypto-friendly environment, Trump has done so appointed Paul Atkins, a noted industry advocate, as chairman of the Securities and Exchange Commission (SEC).
Moreover, he selected David Zaksa prominent figure from the “PayPal Mafia,” who will serve as the White House AI and crypto czar. Sacks is tasked with establishing a legal framework that provides the clarity the crypto industry has long sought.
The growing influence of the cryptocurrency sector was also highlighted in a ’60 Minutes’ segment, which revealed that crypto companies contributed a third of all direct corporate donations to super PACs during the election.
The industry’s support of candidates was remarkably successful, with an impressive 85% win rate among the 62 politicians it supported, both Republicans and Democrats.
Will Bitcoin Reach $150,000 Early in His Presidency?
Transition sources indicate that Trump will closely monitor Bitcoin’s price movements and view it as a key indicator of the market’s health.
“It’s another stock market for him,” one source noted, highlighting Trump’s desire for Bitcoin to reach the ambitious goal of $150,000 early in his presidency.
Adding to the bullish sentiment, Eric Trump recently said expressed confidence in the advantages of Bitcoin over traditional assets such as real estate and gold.
Donald Trump’s son highlighted Bitcoin’s fixed supply of 21 million coins as a key factor determining its value, contrasting this with gold, which can be further mined as prices rise. Eric Trump stated: “Name another resource that is capped. Name another commodity that, as prices rise, will not be further exploited.”
In a striking claim, Eric Trump suggested that Bitcoin’s psychological milestone reaching $100,000 could pave the way for even bigger price targets.
He expressed optimism that the cryptocurrency could eventually reach $1 million, saying: “I am confident that the value will reach $1 million. I think we’re all confident in this room that it will be $1 million.”
At the time of writing, the market’s leading cryptocurrency is trading around $96,000 after fluctuating between current trading levels and close to $100,000 over the past five days, which is currently a major barrier to the Bitcoin price.
Featured image of DALL-E, chart from TradingView.com