Between December 4 and December 5, Bitcoin (BTC) reignited its rally and crossed above $100,000 for the first time in its history. At one point, it was even close to crossing above $104,000.
President-Elect Donald Trump was, under the circumstances, quick to congratulate cryptocurrency investors on his social media platform, Truth Social, and even implied the rally was his doing.
Is Trump the great catalyst of the 2024 cryptocurrency market
Indeed, it is hard to deny that Donald Trump, or, perhaps more accurately, the perception of the administration to come, played a big part in the cryptocurrency market’s recent performance.
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Looking exclusively at Bitcoin, the world’s premier digital asset broke from its relatively protracted stagnation on November 6 – the day it became clear Trump would be the next president of the U.S. – rapidly surging from $70,000 to about $99,000 before entering a slight correction and another period of volatility and sideways trading.
The most recent drive above $100,000 can also be traced to an announcement from the Republican politician and billionaire. Specifically, on Wednesday, December 4, Donald Trump revealed he is nominating Paul Atkins as the next Securities and Exchange (SEC) Chair.
Atkins, as a former SEC Commissioner and a pro-cryptocurrency lobbyist, stands in stark contrast to the current Chair, Gary Gensler, who is considered a major antagonist within the community.
In fact, Gensler is so unpopular with digital assets investors that the confirmation he will resign on January 20 had a greater impact on the price of XRP than the latest developments in the legal battle between Ripple Labs and the regulator.
Is President Trump right to take credit for Bitcoin surge above $100,000
Still, even in the political sphere, not all of Bitcoin’s recent gains can be attributed to Donald Trump. On December 4, Federal Reserve Chair Jerome Powell rejected the notion that BTC is a competitor to the American dollar but likened it to gold, seemingly lending credence to the long-standing comparisons between the commodity and the cryptocurrency.
Ultimately, while it is impossible to remove Donald Trump from the equation given the number of digital assets and Bitcoin advocates set to take part in his administration and positive rhetoric, such as the idea for a national BTC reserve, it is important not to entirely equate the Republican with the rally.
Indeed, Bitcoin far preceded Trump’s political career, and many of its triumphs and milestones were reached independently of the politician and, sometimes, despite the billionaire’s antagonism.
Similarly, though the latest stage of the rally is linked to the elections, it is worth pointing out that the 2024 bull market started months before Americans cast their ballots.
Featured image via Shutterstock
