Bitcoin Attempts to Break $100,000 but Fails, Market Awaits 'King of Understanding's' Next Move

Cryptocurrency speculators still consider the milestone $100,000 as their target level for Bitcoin, hoping that the incoming U.S. President Trump will take further measures to support the industry.

On Wednesday morning in Asia, Bitcoin's trading price hovered around $96,000, having risen over 40% since Trump won the election on November 5. The incoming president plans to reverse the Biden administration's crackdown on digital assets.

Candidates supporting cryptocurrencies are vying for the positions of Chair of the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission. Trump's transition team has also discussed whether to establish the first White House position dedicated to digital asset policy. On Wall Street, there are increasing signs that people are more willing to participate in this controversial market.

Trump's Goals

The incoming president has promised to make the U.S. the global capital of cryptocurrency and even supports the idea of establishing a strategic national Bitcoin reserve, although there are doubts about the feasibility of the latter goal.

TD Cowen analyst Jaret Seiberg wrote in a report that a Bitcoin reserve contradicts Trump's view of the dollar as the world's key currency, which he considers 'ironclad' evidence.

“Trump is likely to continue to promote Bitcoin reserves on social media or mention it in speeches,” Seiberg said, “This is different from deploying the significant political capital needed to achieve that goal.”

Cryptocurrency supporter Paul Atkins is considered the best candidate to replace Gary Gensler as Chair of the U.S. Securities and Exchange Commission. Gensler has taken a series of enforcement actions against the digital asset industry for alleged violations and risks, which suffered a heavy blow in 2022, causing substantial losses for investors.

According to tracking agency CoinGecko, since Trump was elected president, the entire cryptocurrency market has seen a record surge, with a market capitalization increase of about $1.3 trillion. This rise has rekindled the enthusiasm for digital assets reminiscent of the bubble period during the pandemic. On November 22, Bitcoin came close to $100,000, just under $300 away, before retreating.