Bitcoin on an upward trajectory towards $100,000...eyes Trump effect

▲ Bitcoin (BTC)/AI generated image

Expectations for US President Donald Trump's crypto-friendly policies have overwhelmed the market. As a result, Bitcoin (BTC) is on an unprecedented upward trajectory.

According to a Bloomberg report on April 22 (local time), Bitcoin (BTC) showed strength as optimism about easing cryptocurrency regulations spread following Donald Trump's re-election. Trump had pledged since his candidacy to make the United States the capital of cryptocurrencies. The market is paying attention to the possibility that a new administration might stockpile Bitcoin as a national strategic asset. As investors' buying interest concentrated, the price successively broke through major resistance levels.

Bitcoin's price is on the verge of reaching the psychological threshold of $100,000. Market liquidity is abundant as institutional investors' capital inflows accelerate. Net inflows through Bitcoin spot ETFs are breaking records daily. Analysts assess that the current uptrend reflects a fundamental change in market structure beyond short-term overheating. The establishment of a solid support base at the $98,000 level is encouraging.

The cryptocurrency industry is closely monitoring the Trump administration's specific appointments and policy announcements. A change in regulatory leadership is considered the biggest boon for the market. There is strong belief that an environment will be created to support industry growth, moving away from punitive regulations. Trump stated, "The cryptocurrency industry will be a new engine for US economic growth." These remarks became a decisive catalyst for large-scale capital to return to the market.

The possibility of tax benefits and infrastructure support for the Bitcoin mining industry is also mentioned. The stock prices of mining companies in the US surged, outperforming Bitcoin's rise. Analysis suggests that changes in energy policy will lead to reduced mining costs. The hashrate, which is responsible for Bitcoin network security, also maintains an all-time high. The combination of technical stability and political tailwinds has further solidified the asset's value.

The Bitcoin ecosystem has established itself as a core asset in the global financial system. Traditional financial institutions are rushing to expand Bitcoin-related services. Individual investors' sentiment index remains in the 'greed' phase, raising expectations for further gains. Market participants anticipate Bitcoin to settle into a new price range and become the standard for the digital economy. The sustained inflow of capital is a key indicator that will determine the long-term direction of the market.

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