Bitcoin reached $81,000 driven by anticipated support for cryptocurrencies from President-elect Donald Trump.
Bitcoin Rises to Record Levels
Bitcoin surpassed $81,000 for the first time, fueled by strong support for digital assets from President-elect Donald Trump and the potential for a pro-crypto Congress. At the time of writing, Bitcoin has risen by over nine percent, trading at $88,700.
Expectations from Trump's Economic Policies
With U.S. markets outperforming global equities, there is anticipation for further gains, particularly as Trump's economic policies—including deregulation, tax cuts, and trade reforms—are seen as favorable for the U.S. economy. The excitement surrounding Trump's return is fueling momentum in the digital asset industry, which hopes for a more favorable regulatory environment.
Skeptical View from Bloomberg Analyst
Bloomberg analyst Mike McGlone, in a discussion with Scott Melker, pointed out that Bitcoin is currently one of the "fastest horses in the race," with its 60-day correlation to the stock market at an all-time high. However, despite its rise, Bitcoin hasn't fully met expectations, especially in terms of performing oppositely to stocks during market corrections.
Bitcoin continues its upward trend amid political and economic changes in the U.S., while some experts remain skeptical of future developments.
