In a historic milestone, the price of Bitcoin (BTC) reached $100 per unit on the night of December 4, 2024.
Bitcoin, launched in 2009 by an individual or group using the pseudonym Satoshi Nakamoto, recently reached a peak of nearly $104, experiencing a 7% gain in just one day. As of now, the cryptocurrency is trading at $102.751, showing a 6% increase in the past 24 hours.
This achievement can largely be attributed to the cryptocurrency-friendly approach taken by US President-elect Donald Trump, who has been a supporter of digital assets and has proposed regulations that benefit the sector.
The rise of Bitcoin today is due to several factors. The cryptocurrency reached an all-time high of $100,000 due to market confidence, which was further boosted by news of Trump Media’s discussions to acquire Bakkt, a popular cryptocurrency trading platform. Other contributing factors include the Chairman of the US Federal Reserve comparing Bitcoin to gold and Vladimir Putin endorsing Bitcoin as a reserve currency against the dollar. Additionally, Howard Lutnick, Trump’s nominee for Commerce Secretary, is known for his support of cryptocurrencies, which has further contributed to Bitcoin’s rise. The recent introduction of options trading on the iShares Bitcoin Trust, the largest Bitcoin exchange-traded fund, has also played a significant role in the price surge.
Analysts believe that reaching the $100,000 mark marks the beginning of a transformative era for Bitcoin. They suggest that with continued support from the US government, increased institutional investment, and the possibility of adoption by sovereign nations, Bitcoin could reach even greater heights. This milestone is not only seen as a financial achievement but also as a significant shift in Bitcoin’s role in the global economic and political landscape.
Throughout its history, Bitcoin has faced skepticism, with critics questioning its viability during periods of volatility. Phrases like “Bitcoin is literally worthless” and “RIP Bitcoin” have highlighted doubts about its long-term stability. However, this skepticism has driven its evolution, pushing proponents to improve and refine the technology and solidifying its place in financial history.
Since Trump’s election victory, the cryptocurrency market has been on an upward trend, with Bitcoin leading the way. The expectation of a more favorable regulatory environment under the new administration has attracted both retail and institutional investors.
China’s top court recently recognized cryptocurrencies, including Bitcoin, as commodities with “property attributes” under Chinese law, allowing ownership. However, fundraising through tokens is still prohibited. This decision reflects selective support for blockchain for commercial purposes while maintaining strict limitations on the broader use of cryptocurrencies.