As President-elect Donald Trump gets ready to start his second term in office, Bitcoin (BTC) has risen above $109,000.
CoinMarketCap data shows that on January 20, the cryptocurrency temporarily reached an all-time high (ATH) of $109,111 before swiftly falling below $108,000.
As of this writing, the price of Bitcoin is $108,342, up 3% from the previous day.
Ahead of Trump’s Inauguration, Bitcoin Rises
Trump’s inauguration as the 47th President of the United States is scheduled for 4:00 pm UTC, just hours before this historic event.
With Trump’s victory in November 2024 driving Bitcoin’s first December increase above $100,000, the incoming president has greatly boosted positive optimism in the cryptocurrency market.
Trump’s expected pro-crypto initiatives, such as the potential creation of a strategic Bitcoin reserve and the relaxation of crypto laws, are the source of optimism among cryptocurrency aficionados.
As investors anxiously await how Trump’s policies may influence the future of digital assets, the inauguration represents a turning point in both U.S. politics and the global cryptocurrency market.
The quick ascent of Bitcoin highlights its expanding significance as a crucial financial tool during unpredictable times.
Trump is anticipated to give executive actions addressing cryptocurrency de-banking and updating a contentious bank accounting policy top priority, according to reports.
A rule put in place under the Biden administration that required banks that held cryptocurrency to disclose the digital assets as liabilities is being repealed as part of the expected instructions.
The Securities and Exchange Commission’s March 2022 Staff Accounting Bulletin, SAB 121, which has encountered opposition from the cryptocurrency sector, is the source of this policy.
According to people familiar with the talks, the Trump administration has underlined how urgent it is to reverse these actions, and they are a top priority.
Under Trump, the U.S. cryptocurrency market is expected to grow.
Luca Sorlini, Head of Product at Northstake, recently told Cryptonews.com that Donald Trump’s presidency would change the U.S. cryptocurrency market.
Sorlini asserts that by tackling important issues and utilizing America’s natural advantages, the administration may promote substantial prosperity.
Sorlini underlined that the United States may become a center for crypto innovation under Trump if clear regulations are put in place.
He pointed out that “American cryptocurrency companies that are currently operating offshore could move back to the U.S., enriching the domestic ecosystem.”
Companies can concentrate on adding value, taking chances, and promoting adoption by lowering legal uncertainty, which will eventually enhance the market.
2025 priorities
Important administrative processes, such as thorough rules for tokens, stablecoins, and virtual asset service providers (VASPs), were delineated by Sorlini.
In order to strengthen the dollar’s dominance and demand for treasuries around the world, he also promoted the promotion of stablecoins denominated in dollars abroad.
With its extensive capital markets and cutting-edge ecosystem, the United States is well-positioned to compete with global leaders in cryptocurrency like Singapore and Switzerland.
Sorlini stated that it is essential to strike a balance between innovation and protections, adding that “the obstacles, primarily regulatory uncertainties, can be tackled quickly.”
