Jack Mallers, CEO and founder of Strike, stated that U.S. president-elect Donald Trump will implement the promised Bitcoin strategic reserve on his first day in office on January 20, 2025. On Monday (December 16), Bitcoin soared to a historic high of $106,641 before slightly retreating. Wall Street's largest publicly traded whale, MicroStrategy, hinted that it purchased more Bitcoin last week, firmly increasing its position at an average price exceeding $100,000.
CoinTelegraph reported that Mallers explained Trump can rely on the terms in the so-called 'Dollar Stability Act,' which grants him considerable power to protect the dollar. He envisioned, '(Trump) might use the executive order on the first day to purchase Bitcoin.'
He added, "Its (the Bitcoin strategic reserve) scale won't reach 1 million, but it will play a significant role."
(Bitcoin Act 2024) was proposed by pro-crypto Republican Senator Cynthia Lummis in July, suggesting that the U.S. Treasury and the Federal Reserve purchase 200,000 Bitcoins annually over five years, accumulating a total of 1 million Bitcoins.
This reserve will hold at least for 20 years, occupying 5% of Bitcoin's total supply of 21 million, and these speculations have boosted some new high targets for Bitcoin's price in 2025 and beyond.
Meanwhile, Satoshi Act Fund CEO Dennis Porter stated that the third Bitcoin strategic reserve bill is being developed at the state level in the U.S.—however, he did not disclose which state will follow Texas and Pennsylvania's example.
"We have Pennsylvania and Texas, and now another state has joined in; they sent me the draft, so I know this is real," he said during a Twitter Spaces live broadcast on Sunday. He added that at least 10 states are expected to introduce Bitcoin reserve bills in total. "This will not stop, and we will see more and more such bills, I believe there will be at least 10."
Financial analysts also predict that the Federal Reserve will cut interest rates by 25 basis points on December 18, which could further boost Bitcoin's price in the coming months.
Another catalyst for the surge in Bitcoin prices could be a new regulation from the U.S. Financial Accounting Standards Board that allows institutions to more accurately record the value of their crypto assets. This rule will apply to fiscal years beginning after December 15.
According to the cryptocurrency fear and greed index, the market sentiment for Bitcoin is currently in the 'extreme greed' zone, scoring 83 out of 100.
MicroStrategy: First purchase of Bitcoin at an average price exceeding $100,000
MicroStrategy founder Michael Saylor hinted at purchasing more Bitcoin over the weekend, marking the company's first buy at an average price exceeding $100,000.
In a post on Sunday, Saylor suggested that the portfolio tracking platform SaylorTracker seemed to be missing a green dot (Bitcoin buy point), implying that MicroStrategy has once again stepped in to increase its position.
Since November 10, Saylor has released SaylorTracker charts for five consecutive Sundays; each time after MicroStrategy purchases Bitcoin, the platform confirms the news the following day.
If Saylor's hint proves true for the sixth time, it would mean that MicroStrategy has purchased Bitcoin for the first time at an average price exceeding $100,000, as CoinGecko data shows that Bitcoin's trading price has not fallen below six figures since December 13.
SaylorTracker data indicates that Saylor's business intelligence company has confirmed that the average purchase prices of Bitcoin it bought on the past three Mondays from November 25 to December 9 were $97,862, $95,976, and $98,783, with the total value of these three batches of Bitcoin being $1.5 billion and $5.7 billion respectively.
If another batch of Bitcoin reaches the upper limit of this range, MicroStrategy could easily achieve a $50 billion Bitcoin portfolio. As of December 15, the company holds 423,650 Bitcoins, valued at over $43.6 billion.
Bitcoin Technical Analysis
Economies.com indicated that Bitcoin opened strongly on Monday, surpassing the first target of $104,060 and reaching the second target of $106,000, recommending to continue the bullish wave within the bullish channel appearing on the chart for additional gains extending to the $110,000 area.
Therefore, the bullish trend will remain valid and active for some time; it is important to note that a drop below $104,060 will halt the bullish wave and push the price to achieve some intraday bearish correction before turning back up.
"The expected trading range on Monday is between the support level of $103,000 and the resistance level of $108,000."
"The trend forecast is bullish."
