Bitcoin's price skyrocketed to over $109,000 early Monday, just hours before President-elect Donald Trump's inauguration, signaling a bullish sentiment in the cryptocurrency industry anticipating potential pro-crypto actions from the returning president.
Despite his previous skepticism towards bitcoin, Trump has now embraced digital currencies, launching a new cryptocurrency venture and pledging to make the U.S. the 'crypto capital' of the world. His proposed initiatives include establishing a U.S. crypto stockpile, implementing industry-friendly regulations, and appointing a crypto 'czar' within his administration.
Bitcoin, the leading cryptocurrency created in 2009, has witnessed a surge in popularity, transitioning from the fringes to the mainstream amidst its volatile price movements. Critics have raised concerns about the limited utility of cryptocurrencies and their potential misuse by criminals and rogue nations.
Following Trump's victory in the last election, bitcoin's price has seen significant growth, reaching over $100,000 for the first time last month. The industry's support for Trump, who they felt would be more favorable than the outgoing administration, has been evident through substantial contributions to his campaign.
Key appointments in Trump's cabinet and regulatory positions reflect a pro-crypto stance, with notable figures supporting digital assets. The administration's plans include the creation of a special advisory council to streamline crypto regulations and the establishment of a 'Strategic Bitcoin Reserve' akin to the gold reserves held by the government.
Furthermore, Trump has promised to commute the life sentence of Ross Ulbricht, the founder of the Silk Road website, a move that has garnered support from crypto advocates and Libertarian activists.
Overall, the cryptocurrency industry is optimistic about the potential policy changes under the new administration, anticipating a more favorable regulatory environment and increased institutional acceptance of digital assets.
