Analysts say Bitcoin is expected to hit the $100,000 price milestone by the end of the year after President-elect Trump wins the election. James Butterfill, director of research at CoinShares, said that a price increase to $100,000, implying a 33% increase, is “now possible” due to Trump’s election as president and the Republican Party’s new majority in the Senate. could make it easier to push prices higher. Butterfill told CNBC in emailed comments that a $100,000 Bitcoin price “doesn’t sound all that unreasonable” given that Bitcoin “only accounts for 10% of gold’s market share.” Trump on Wednesday defeated Vice President Kamala Harris to win the 2024 US election, promising several pro-cryptocurrency initiatives in the months leading up to the vote. BTC.CM = 6 Million Mountains of Bitcoin One of the promises was to fire U.S. Securities and Exchange Commission Chairman Gary Gensler, who took more than 100 actions against cryptocurrency companies during his time at the helm of the agency. The U.S. Securities and Exchange Commission (SEC) sued cryptocurrency exchanges such as Coinbase and Binance, as well as blockchain company Ripple, which is closely related to the cryptocurrency XRP, accusing the companies of violating securities laws. Expect Crypto-Friendly Regulation Another pledge Trump has made is to create a Bitcoin reserve to hold the digital currency accumulated from assets seized by the U.S. federal government from financial criminals. He is also committed to promoting the development of the Bitcoin mining industry in the United States and has stated that he hopes that all remaining Bitcoins in the world will be mined in the United States. CoinShares’ Butterfill said he believes the main catalysts for Bitcoin’s future development are changes in SEC leadership, cryptocurrency-friendly regulation and further adoption by large companies. Another thing that could trigger a move higher for stocks is a rate cut by the Federal Reserve on Thursday, he added. Jag Kooner, head of derivatives at cryptocurrency exchange Bitfinex, said that while it is difficult to predict Bitcoin prices, the goal of reaching $100,000 within a few months “doesn’t seem too far-fetched.” “Given the bullish momentum and the fact that we have avoided a recession, we expect Bitcoin to have limited downside now – which at one point looked very likely,” Kuehner told CNBC via email. After Trump was inaugurated , Bitcoin price will reach $100,000 According to Fadi Aboualfa, research director of cryptocurrency custody company Copper.co, the price of Bitcoin may reach $100,000 by January 20, 2025, when Trump is inaugurated as president. After news of Trump’s election broke, Abu Alfa said in written comments: “For Bitcoin, it is worth remembering that Trump witnessed not once but twice during his presidency from 2016 to 2020. The highest cycle in history. However, he added that these gains “came against the backdrop of a weak dollar, which is different from today’s strong dollar environment.” Abu Alfa added that despite this, Bitcoin exchange-traded funds currently hold about 1.1 million Bitcoins and the momentum in the coming months is likely to be positive. Other Catalysts Bitfinex’s Kooner added that other catalysts for Bitcoin’s positive price momentum will include the “long tail” of Bitcoin’s so-called “halving” event in April and impacting supply. The Bitcoin halving is a technical event in the Bitcoin blockchain that occurs every four years. It cuts in half the supply of Bitcoins issued to miners who successfully produce new Bitcoins. Kuehner told CNBC that continued expectations of falling interest rates, avoiding a recession and a strong U.S. labor market could also “spur broader adoption of Bitcoin and confidence in the future of Bitcoin and its use in the economy.”
