Finance
Bitcoin hits $100,000 milestone level as Trump-fueled rally reaches new heights
Bitcoin (BTC-USD) hit $100,000 late Wednesday, as a stunning rally driven by investor belief that the incoming administration of President-elect Donald Trump will create a crypto-friendly regulatory environment.
The token’s latest surge came in the hours after Trump picked Paul Atkins to chair the Securities and Exchange Commission. Atkins was seen as a crypto-friendly pick for the position.
Bitcoin has rallied more than 40% since Trump’s presidential win last month, repeatedly coming just shy of the $100,000. At last check, it hovered just below $101,000 per token.
Trump said Atkins, CEO of Founder of Patomak Global Partners and also a former SEC commissioner, “is a proven leader for common sense regulations.”
“He also recognizes that digital assets & other innovations are crucial to Making America Greater than Ever Before,” wrote Trump on the social media platform Truth Social on Wednesday.
New York Sen. Kirsten Gillibrand, a Democrat, told Yahoo Finance on Wednesday that Atkins has the “right experience” to create federal crypto legislation.
“Atkins could very well be a good SEC head,” Gillibrand said (video above).
Investor optimism over crypto-friendly policies grew last month after the SEC announced Chair Gary Gensler will step down on Jan. 20, the president-elect’s inauguration day.
Gensler led a crackdown on the industry during his time at the SEC. Wall Street had anticipated his replacement would pursue less regulation around crypto.
“The expectation is the new SEC chair is more likely to embrace crypto,” Owen Lau, executive director and senior analyst at Oppenheimer, told Yahoo Finance in a recent interview.
“It is huge because it represents a dramatic regime shift from violation of security laws to crypto capital,” he added.
Read more: Bitcoin clears another record: Is now the time to invest?
Bitcoin has been a key component of the Trump trade based on Trump’s campaign promises, which include prioritizing the creation of a bitcoin national stockpile.
Reports that Trump’s transition team is discussing the possibility of a first-ever White House role or “crypto czar” to oversee bitcoin policy has also sent the token higher.
Meanwhile, last month the Financial Times reported that Trump Media & Technology Group (DJT) is in advanced talks to acquire crypto trading company Bakkt (BKKT), a tie-up that could further encourage initiatives within the sector.
Bitcoin spot exchange-traded funds have also seen massive inflows recently, helping drive prices higher. Options tied to BlackRock’s spot bitcoin ETF (IBIT) also began trading on the Nasdaq in November, pushing additional trading activity into the crypto space.