Bitcoin hits $100K, achieves $2 tn m-cap after record 53% rally since Trump win

Bitcoin (BTC) has topped $100,000 for the 1st time as a massive rally rolls on after US President-elect Donald Trump picked a crypto advocate to lead the Securities and Exchange Commission (SEC). Experts have attributed developments like billionaire Elon Musk's DOGE or Department of Government Efficiency formation, plans for a dedicated White House crypto policy role, and Trump’s appointment of Paul Atkins as SEC Chair fuelled the remarkable rally. With this, BTC has seen a 53% rally since the elections in the US when it traded at $69,359.57, surging around $33,695.

Trump nominated veteran Paul Atkins to lead the SEC, a move that was cheered by the crypto industry. Atkins had already served as SEC commissioner from 2002 to 2008. Besides, he also co-founded Patomac Global Partners in 2009.

As co-chairman of the digital chamber's Token Alliance since 2017, he has worked on and studied the digital assets industry, said Trump. He added that as former SEC commissioner, Paul "strongly advocated for transparency and protecting investors".

"Paul is a proven leader for common sense regulations. He believes in the promise of robust, innovative capital markets that are responsive to the needs of investors and that provide capital to make our economy the best in the world. He also recognises that digital assets and other innovations are crucial to Making America Greater than Ever Before," Trump said in a statement.

The world’s first decentralised cryptocurrency, meanwhile, is currently trading at 103,048.89 USD, down 0.97% in the past 24 hours, taking its m-cap to $1.9 trillion. With the record rally, especially boosted by Trump's victory in the US, BTC is up 144% in the year-to-date period.

Another major push to the crypto rally came from the early 2024 launch of spot-based bitcoin exchange-traded funds (ETFs) by asset management players like BlackRock and Fidelity. To cash in on the bull run, listed tech players like Microstrategy have spent billions in acquiring BTC -- $5.4 billion in the last week alone. All these developments drove Bitcoin to the much-awaited $100,000 mark.

“Crossing the $100K mark is a historic moment for Bitcoin and the global crypto industry. It’s incredible to see how far we’ve come—from Satoshi Nakamoto’s vision in the Bitcoin whitepaper to today, where Bitcoin has become a significant player in the global financial ecosystem," says Sumit Gupta, co-founder, CoinDCX.

"Institutional confidence is continuing to grow, with Bitcoin ETFs adding $676 million in a single day. This milestone is also expected to attract more retail investors, pushing crypto further into becoming a mainstream asset. With Trump’s pro-crypto agenda and Atkins’ leadership, the market is bound for friendlier reforms and wider adoption, setting Bitcoin on track to reach $120,000 in the coming weeks," says Edul Patel, CEO and co-founder of Mudrex.

As Bitcoin surpasses $100K, Gupta of CoinDCX believes, it’s more than a number, a psychological breakthrough that will prompt institutions, companies, and countries to take Bitcoin and crypto more seriously. "We could see deeper integration of Bitcoin into mainstream investment products."

Balaji Srihari, Business Head, CoinSwitch, says the re-election of Trump has reinvigorated enthusiasm within the crypto community, supported by a significant uptick in institutional investments -- Blackrocks’s spot BTC ETF has surpassed 500,000 BTC in assets under management (AUM), equating to $48 billion. "With the US embracing pro-crypto policies other countries are also moving favourably, China has now lifted restrictions on personal crypto ownership. Brazil, and Russia are considering Bitcoin for reserves, signalling its growing global economic role."

Based on historical post-halving performance, analysts project that Bitcoin could reach a peak of around $150,000 in 2025, he said. "If the past is any indicator, the April 2024 halving could spark a rally of 300–400%, aligning perfectly with this forecasted target."