For the first time in its history, Bitcoin surged past the $100,000 mark, peaking at $103,000 late Wednesday before stabilizing at $102,900.
The rally comes as investors anticipate pro-cryptocurrency policies under Donald Trump’s impending return to the White House. Since election day, Bitcoin’s value has jumped by 45%, mirroring significant gains across other cryptocurrencies.
According to CryptoQuant, retail demand for Bitcoin has hit its highest levels since 2020, driven by a wave of optimism in the market. Meanwhile, institutional investors continue to pour into Bitcoin and Ethereum exchange-traded funds, signaling strong confidence in the digital asset space.
Valentin Fournier, a BRN analyst, believes Bitcoin’s record-breaking milestone has propelled it into uncharted price discovery territory, potentially setting the stage for further gains.
However, Fournier advises caution:
“The Fear and Greed Index is now above 80, indicating extreme greed. Investors should be mindful of potential volatility and profit-taking in the short term.”
The crossing of the $100,000 threshold marks a significant psychological and financial milestone for Bitcoin. While the rally reflects optimism, it also highlights the cryptocurrency’s inherent volatility, making caution and strategic planning crucial for investors.