Bitcoin surged to a record-breaking high of $107,000, reflecting a nearly 6 per cent increase over the past week. This unprecedented rally was fueled by President-elect Donald Trump’s proposal to establish a Strategic Bitcoin Reserve, modeled after the U.S. Strategic Petroleum Reserve. The announcement has sparked optimism within the cryptocurrency market, signalling a potential shift toward a more favourable regulatory environment under Trump’s administration.

Trump’s pro-crypto stance has been widely welcomed, with his vision of integrating Bitcoin into the national strategic reserves marking a historic milestone in the recognition of digital assets at a government level. Analysts suggest this policy could enhance Bitcoin’s legitimacy.

Adding to the momentum are expectations of another U.S. Federal Reserve interest rate cut, as lower rates typically favour risk assets like Bitcoin. The rally also received a boost from the inclusion of MicroStrategy in the Nasdaq 100 index—a landmark event highlighting the growing institutional acceptance of Bitcoin.

As per CoinSwitch Markets Desk, this move integrates Bitcoin into one of the world’s largest ETFs, boasting over $300 billion in assets under management (AUM).

“BTC touched an all-time high again after 10 days of consolidation. It seems to have marked its support over 2 trillion dollar market cap – making it the 7th largest asset in the world by market cap with Amazon and Google being less than 15% away,” it said.

Bitcoin among 10 most-valued assets

Bitcoin’s leap beyond the $107,000 mark follows a steady seven-week winning streak, underscoring the cryptocurrency’s robust fundamentals.

Rahul Pagidipati, CEO of ZebPay, noted that Bitcoin’s milestone reflects its evolution into a legitimate asset class. “Bitcoin is now effectively one of the top 10 most valued assets globally, ranking above most commodities and corporations,” Pagidipati said. He also highlighted that the total crypto market capitalisation has crossed $3.5 trillion, underscoring the scale of adoption.

Similarly, Tanvi Kanchan, Head of Strategy at Anand Rathi Shares and Stock Brokers, highlighting the broader implications of these developments said, “The proposed Strategic Bitcoin Reserve and increasing corporate treasury integration signify a shift toward mainstream adoption.”

Global Crypto Outlook

As the crypto market matures, innovations in decentralised finance (DeFi), blockchain interoperability, and tokenised assets are expected to redefine financial systems. 

Sathvik Vishwanath, Co-Founder & CEO of Unocoin, described Bitcoin’s surge as transformative, saying, the market focus now shifts to the $110,000 level as momentum remains strong despite earlier bearish predictions. 

“The proposed reserve cemented Bitcoin’s status as a critical financial asset and fueled renewed confidence in its potential. Bitcoin is now up more than 50 per cent since the US election, reflecting its growing influence and appeal as a hedge against traditional market uncertainty,” Vishwanath said.

Thangapandi Durai, CEO of Koinpark, said Bitcoin’s sustained momentum alongside broader adoption and innovative use cases, signals a promising future for the crypto token. While analysts predict potential short-term pullbacks, Bitcoin’s seven-week winning streak exemplifies its strong market fundamentals, he added.

Pankaj Balani, CEO & Co-Founder of Delta Exchange, said Bitcoin ETFs now hold 1% of all U.S. ETF assets, signalling further potential for growth.

“This followed by pro-crypto statements from President-elect Donald Trump, the selection of an SEC chair who is believed to be pro-crypto and increased institutional participation in the last few months have boosted the sentiment and excitement amongst traders. Market participants remain long with current OI hovering around record OI levels and expect further move up here,” he added.

Vishal Sacheendran, Head of Regional Markets at Binance also believes the outlook for crypto appears increasingly promising. However, he cautioned that as crypto momentum builds, investors must remain vigilant—prioritising research, diversifying portfolios and staying informed about industry trends to navigate this transformative era successfully.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.