Bitcoin hit another new all time high ahead of today;s expected rate cut announcement.
With market optimism at new highs, the total crypto market cap reached $2.6 trillion, alongside a $224 billion trading volume in just 24 hours. Bitcoin, the leading cryptocurrency, surged past $76,000, setting a record high that has sent ripple effects across the broader digital asset ecosystem, including a sharp rise in the NFT (Non-Fungible Token) market.
This recent market activity appears largely driven by Fear of Missing Out (FOMO) among investors, many of whom view Trump’s pro-crypto stance as a green light for market growth. Trump’s election campaign emphasized his support for the cryptocurrency industry, including proposals to relax regulations, support for U.S.-based crypto mining, and the possibility of a national Bitcoin reserve. This has fueled hopes for a friendlier regulatory environment, which is encouraging increased participation and driving asset prices up.
Within the NFT market, this sentiment has catalyzed a surge, with the market cap rising by 10.9% to surpass $23 billion. Over the past day, NFT trading volume spiked to $3.6 billion, reflecting intense investor interest and activity. Smaller NFT-related tokens like Based Bario and Eesee have seen gains of 38.7% and 24.5%, respectively, while other established tokens such as SuperVerse and Blur also recorded growth. The NFT market’s growth rate, proportionally larger than that of Bitcoin, highlights a concentrated flow of capital into this sector, as investors diversify within the crypto space.
The broader altcoin market, especially DeFi (decentralized finance) assets, has similarly benefited. DeFi tokens such as Uniswap and Lido DAO have surged, climbing 29.90% and 38.13%, respectively. Trump’s campaign promises, including opposition to a central bank digital currency (CBDC) and support for self-custody rights, have fueled confidence among DeFi and crypto enthusiasts. Trump’s anticipated removal of SEC Chair Gary Gensler, seen as a proponent of restrictive crypto regulations, further fuels expectations for regulatory easing, which could encourage continued growth.
In addition, market analysts predict that the Federal Reserve’s expected interest rate cut, announced today, could inject more liquidity into the market. Institutional investors eyeing Spot Bitcoin ETFs may accelerate investment, contributing to the FOMO-driven rally across crypto markets.
🔸Strategic Bitcoin Reserve: Is It Going to Be a Thing?!
Trump has proposed creating a “strategic Bitcoin reserve,” a move he claims will strengthen America’s financial position.
“This is about ensuring the U.S. has a stake in the future of global finance,” Trump said. “Bitcoin is a valuable asset, and selling it off for short-term gains is a mistake.”
Wyoming Senator Cynthia Lummis, a prominent crypto advocate, introduced a similar bill earlier this year, and it now has growing support.
There may be three months until the U.S. government begins accumulating bitcoin as a strategic reserve asset.
If the Lummis plan is followed, The U.S. will buy 550 BTC/day for 5 years, and hold all of it for a minimum of 20 years.
An infinite balance sheet pouring into absolute and immutable scarcity. Literally ∞/21M
