TLDR
- Bitcoin surpassed $100,000 for the first time, reaching $104,611 on December 4, 2024
- President-elect Trump celebrated the milestone on Truth Social, claiming credit for the surge
- Trump’s election victory in November led to a 36% increase in Bitcoin’s value
- Gary Gensler will step down as SEC Chair on January 20, with pro-crypto Paul Atkins expected to take over
- Bitcoin’s market cap exceeded $2 trillion, surpassing major companies like Nvidia and Apple
Bitcoin achieved an unprecedented milestone on December 4, 2024, breaking through the $100,000 mark to reach an all-time high of $104,611. The surge came one month after Donald Trump’s election victory, which traders and investors viewed as a catalyst for cryptocurrency growth.
President-elect Trump, who will take office on January 20, 2025, celebrated the achievement on his Truth Social platform. “CONGRATULATIONS BITCOINERS!!! $100,000!!! YOU’RE WELCOME!!! Together, we will Make America Great Again!” Trump wrote, claiming credit for the price increase.
The cryptocurrency’s value has risen 36% since the November 6 election results, with market participants referring to the upturn as the “Trump trade.” The rally began gaining momentum in early October, as investors anticipated a potential Trump victory.
Standard Chartered’s global head of digital assets research, Geoffrey Kendrick, made a prescient call on October 3, advising investors to buy Bitcoin at $60,000. His recommendation came as market confidence grew in the possibility of a pro-crypto administration under Trump.
The president-elect’s campaign included promises to make the United States the “crypto capital of the world.” This stance marks a departure from the current administration’s approach to digital assets regulation.
The transition will bring changes to key regulatory positions. Current SEC Chair Gary Gensler announced his resignation effective January 20. Former SEC Commissioner Paul Atkins is expected to take over, bringing what industry observers describe as a pro-crypto vision to the role.
Robinhood Markets’ legal chief Dan Gallagher expressed support for Atkins, stating he “was made for this job” and predicting immediate action on industry concerns about “regulation by enforcement.”
The surge has pushed Bitcoin’s market capitalization above $2 trillion, exceeding the value of major public companies including Nvidia, Apple, and Alphabet. The cryptocurrency’s total value now surpasses the government bond markets of Spain and Brazil.
Trump’s administration has outlined plans for increased government involvement in Bitcoin. During a cryptocurrency conference earlier this year, Trump proposed creating a strategic Bitcoin stockpile using assets seized by the U.S. government.
Some of Trump’s allies, including Robert Kennedy Jr. and Republican Senator Cynthia Lummis, have suggested the government could purchase 1 million Bitcoin, approximately $100 billion at current prices, as backing for the U.S. dollar.
VanEck’s head of digital assets research, Matthew Sigel, raised the firm’s Bitcoin price target to $180,000 for the current bull cycle. Sigel cited institutional demand and political support from Trump’s election as key factors.
Bitwise CIO Matthew Hougan described the incoming administration as potentially ushering in a “Golden Age of Crypto.” He noted that Bitcoin’s fundamentals were already strong entering 2024, supported by spot Bitcoin ETF approvals and increasing real-world adoption.
Fadi Aboualfa, head of research at Copper Technologies, suggests that reaching $100,000 indicates the start of a new phase in the bull market. According to Aboualfa, this phase appears less vulnerable to external market pressures.
Manuel Villegas, a digital assets analyst at Julius Baer, points to sustained demand for Bitcoin. Villegas suggests the possibility of a supply squeeze in the coming year, similar to previous market cycles.
As of press time, Bitcoin trades around $98,300, following a retracement from its peak. The $100,000 level remains a key support point that analysts believe could enable further price increases.
