Bitcoin Hits New All-Time High, Boosted by Institutional Support and Market Optimism
Bitcoin (BTC) recently hit a new record of $106,352 before exepriencing a slight drawback.
The largest cryptocurrency by market capitalization is currently priced at $104,700, showing a 2.72% increase in the past 24 hours, though it has dipped from its peak.
Experts believe that Bitcoin’s continued rise is likely, with some predicting positive momentum as we enter the new year. According to Rachael Lucas, a crypto analyst at BTC Markets, this new all-time high highlights Bitcoin’s transition into a more established and legitimate asset. Lucas explained that this milestone signals a shift from Bitcoin being driven primarily by retail investors to being increasingly supported by institutional demand, exchange-traded funds (ETFs), and corporate treasuries.
Several factors are contributing to Bitcoin’s surge above the $106,000 mark, including recent comments by U.S. President-elect Donald Trump, who expressed interest in creating a strategic crypto reserve and taking bold actions in the crypto space.
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The market sentiment has been further buoyed by MicroStrategy, which announced that it now holds a Bitcoin reserve valued at over $44 billion. The company’s inclusion in the Nasdaq 100 on December 23 is expected to further drive Bitcoin’s institutional adoption. Additionally, MicroStrategy co-founder Michael Saylor made waves on social media with posts indicating more Bitcoin acquisitions on the horizon.
Adding to the momentum, Riot Platforms, a leading Bitcoin mining company, revealed that it had purchased 5,117 Bitcoin at an average price of around $99,669 per coin last Friday.
Looking ahead, the crypto market is keeping a close eye on the upcoming U.S. Federal Reserve meeting, scheduled for Wednesday. Analysts are predicting a 97.1% chance that the Fed will decide to cut interest rates by 25 basis points, which could have a notable impact on crypto prices. Presto Research’s Min Jung emphasized that the Fed’s stance and developments related to Trump’s inauguration in January could further influence market dynamics.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
