Bitcoin Smashes $100K Milestone as Trump's SEC Pick Fuels Crypto Rally
Bitcoin reached a historic milestone on Wednesday night, breaking through the $100,000 mark for the first time ever, driven by optimism surrounding Donald Trump's recent election victory and his pro-crypto regulatory appointments.
The world's largest cryptocurrency hit $100,400 around 9:30 p.m. ET before climbing further to $102,700 within two hours. This breakthrough comes after bitcoin's impressive surge from under $70,000 on Election Day, marking a meteoric rise of over 45% in just two weeks.
The latest rally appears fueled by Trump's nomination of Paul Atkins to head the Securities and Exchange Commission. Atkins, who cochairs the Chamber of Digital Commerce's Token Alliance, is widely regarded as crypto-friendly - a stark contrast to current SEC chair Gary Gensler's stricter regulatory stance.
Market enthusiasm has been further boosted by reports of Trump potentially creating a "crypto czar" position in the White House. Additionally, Senator Cynthia Lummis proposed that the Federal Reserve should convert some of its gold reserves to bitcoin, aligning with Trump's campaign promise of establishing a national bitcoin reserve.
Crypto industry leaders have expressed overwhelming optimism about the incoming administration. Mike Novogratz, a prominent crypto billionaire, described Trump's victory as a "paradigm shift" for industry regulation, noting that many incoming cabinet members are bitcoin holders and digital asset supporters.
The price surge has validated earlier predictions from major financial institutions. Standard Chartered had forecast bitcoin reaching $125,000 by year-end, while Piper Sandler's Craig Johnson projected a target of $130,000. MicroStrategy chairman Michael Saylor maintains an ambitious long-term forecast of $13 million by 2045.
Bitcoin's remarkable performance in 2023 shows a 133% year-to-date increase. However, technical analysis reveals substantial selling pressure at the $100,000 level, with large limit orders potentially challenging sustained growth above this psychological barrier.
As the market digests this historic achievement, investors and analysts remain divided on bitcoin's next move. While some expect a short-term correction, others believe the supportive political environment could push prices even higher in the coming months.