Bitcoin Surges Past $100,000 as Market Sentiment Shifts

Bitcoin (BTC) has broken through the $100,000 barrier for the first time in two weeks, driven by renewed momentum following the expected confirmation of Donald Trump’s US election win by Congress. According to Bloomberg data, the leading cryptocurrency climbed over 4% in the 24-hour time frame to hit $102,500 on Monday, recording a weekly rise of 11% – its highest surge since November 24.

Whales Accumulate Bitcoin

The recent surge in Bitcoin’s price can be attributed to the rekindled interest in a pro-crypto government under Trump. Enthusiasm for regulatory changes from the Trump administration has propelled Bitcoin to a record peak of $108,000. Khushboo Khullar, a venture partner at Lightning Ventures, stated, “A super cycle in 2025 is expected due to regulatory changes from the Trump administration.”

Investment in Bitcoin ETFs on the Rise

A notable surge of investment in Bitcoin exchange-traded funds (ETFs) has also fueled this momentum. On Friday, investors funneled a net $908 million into US Bitcoin ETFs, signaling the fifth-highest inflow since they were launched in January 2024. This influx of investment has contributed to the rebound of the Bitcoin Coinbase Premium, which gauges the price variance between Bitcoin on Coinbase and Binance.

Key Support Levels Under Scrutiny

As the market looks towards 2025, Bloomberg highlights that Bitcoin’s path will significantly rely on Trump’s dedication to his crypto-related pledges, encompassing a national Bitcoin reserve. However, doubts persist about the longevity of the ongoing rally. A recent MLIV Pulse survey revealed that 39% of participants viewed Bitcoin as the investment most prone to becoming a loser in 2025.

Technical Analysis: A Bearish Outcome Still Feasible

Market expert Morecryptoonl pointed out that Bitcoin has formed a more distinct five-wave pattern, with a bearish outcome that is still feasible if specific support levels are violated. Crucial support zones have been pinpointed between $93,144 and $96,554, which might be examined after wave one validates its peak.

Conclusion

In conclusion, Bitcoin’s recent surge past $100,000 has been driven by renewed momentum following the expected confirmation of Donald Trump’s US election win by Congress. While investment in Bitcoin ETFs and the rebound of the Bitcoin Coinbase Premium are positive indicators, doubts persist about the longevity of the ongoing rally. As the market looks towards 2025, Bitcoin’s path will significantly rely on Trump’s dedication to his crypto-related pledges.

Source: Newsbtc.com

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