Bitcoin rally halts near historic $100000 level
Bitcoin made headlines recently as its price surged towards the $100,000 mark, with many wondering if this rally is sustainable. Despite coming close to this historic level, the digital currency saw a slight retreat, causing analysts to suggest that the market may be showing signs of exhaustion and could consolidate around $100,000.
After reaching near $100,000, Bitcoin dropped to $95,776 before rebounding to $97,550. Experts believe that the optimistic outlook for Bitcoin, influenced by President-elect Donald Trump’s support for cryptocurrencies, may have reached an extreme point. Trump’s incoming administration is seen as a positive force for cryptocurrencies, with the overall digital asset market value increasing by about $1 trillion since his victory on Nov. 5.
Investors are closely watching Bitcoin’s movements around the $100,000 mark, with some predicting a period of consolidation before a potential breakthrough. Trump’s promises of friendlier regulations and plans for a national Bitcoin stockpile have bolstered confidence in the cryptocurrency market. However, the timeline for these initiatives and the feasibility of a Bitcoin reserve remain unclear.
Additionally, Cantor Fitzgerald LP is reportedly in talks with Tether Holdings Ltd. to receive support for a lending program involving Bitcoin collateral. These developments, along with discussions within Trump’s transition team about digital asset policies, have contributed to the positive sentiment surrounding cryptocurrencies.
Despite the recent pullback, experts believe that Bitcoin’s current levels are similar to those seen just a week ago. With additional factors like US exchange-traded funds investing in Bitcoin, the cryptocurrency market continues to attract significant attention. As Bitcoin hovers around $100,000, many are waiting to see if it can break through this symbolic threshold.
