Bitcoin hit a new all-time high on Thursday, with its price surpassing $111,000 for the first time amid a weakening US dollar.
Traders are increasingly optimistic about the prospects for cryptocurrency due to growing institutional demand.
The US Senate voted by a majority to support a revised version of the GENIUS Act. This document provides for federal regulation of stablecoins, which are crypto assets pegged to traditional currencies. It will now be sent for further discussion. The authors of the bill hope that it could be passed as early as this week.
This will provide greater regulatory clarity for companies dealing with digital assets, experts say.
Weak results from the US government bond auction, as well as fears of an increase in the country’s budget deficit, pushed the dollar to a two-week low against the yen. These same reasons caused the US stock market to decline the day before. As a result, investors began to look for alternative investments, turning to cryptocurrencies and gold.
Bitcoin is currently trading at $110,540, which is 1.7% higher than at the close of the previous session. Earlier, the rate reached a record high of $111,878.
On Monday, the bitcoin exchange rate is falling along with other risky assets on the news of new foreign trade duties.
Bitcoin, according to Coindesk, is down 3.7% to $76,637 as of 14:45 Monday afternoon, the world’s most popular cryptocurrency has fallen 17.6% since the beginning of the year and is now trading at its lowest level since November last year.
Futures on the US stock index S&P 500 are down 2.3%, and the European composite index Stoxx Europe 600 is down 4.6%.
The collapse of global markets was triggered by US President Donald Trump’s introduction of new large duties on foreign trade partners, which raised fears of a recession in the global economy.
Ethereum, the second most popular cryptocurrency in the world, falls by 6% to $1,480 thousand, according to Kraken.
The total capitalization of all cryptocurrencies in the world is about $2.59 trillion. Bitcoin accounts for 82% of this volume, and ethereum – 8%.
Bitcoin and other digital currencies will be included in the US Crypto Strategic Reserve, US President Donald Trump has said.
“I will make the United States the crypto capital of the world,” he wrote on his social network Truth Social on Sunday.
Trump issued an executive order on digital assets, which ordered him to work on the creation of such a reserve. Along with bitcoin, it will include such cryptocurrencies as Ethereum, XRP, Solana, and Cardano.
In this case, bitcoin and ether will become the “heart of the reserve”.
Bitcoin fell by 2.1% to $92,358 thousand by 10:03 a.m. on Monday, according to Coindesk. After Trump’s statements the day before, the world’s most popular cryptocurrency rose in price by more than 10%. Over the past year, its value has jumped by 36.4%.
The bitcoin exchange rate continues to decline sharply, with the cryptocurrency dropping below $80 thousand during trading for the first time since November last year.
Bitcoin fell by 3.9% to $80,150 thousand by 14:35 on Friday, according to Coindesk. Earlier in the session, quotes fell to $78.239 thousand. Over the past month, the world’s most popular cryptocurrency has fallen in price by 21%.
The bitcoin rate rose above $109 thousand on the day of the inauguration of US President Donald Trump, hoping that the new administration would be more favorable to digital assets. However, in the absence of specific measures to support the sector, cryptocurrencies fell along with other global markets.
“Bitcoin has dropped like a stone amid investor exodus from risky assets, which has rocked financial markets,” said Hargreaves Lansdown analyst Suzanne Streeter. – “The euphoria in the cryptocurrency market was closely linked to the general enthusiasm of investors, and when it declined, there was nowhere to hide.
The bitcoin rate set a new record on Monday, rising above $109 thousand before the inauguration of US President-elect Donald Trump.
During the election campaign, the politician publicly spoke in support of the cryptocurrency market, and traders expect him to ease regulations in this sector.
On Monday, the price of bitcoin rose to $109,241 thousand, Barron’s writes. According to CoinDesk, as of 10:00 a.m., the rate is $107.617 thousand.
Last weekend, Trump and his wife Melania launched their own cryptocurrencies on the Solana blockchain.
The politician himself introduced his TRUMP memecoin on the X social network and on his own platform, The Truth Social, on Saturday. At one point, the capitalization of this cryptocurrency rose to $15 billion, but fell below $8 billion after the launch of the MELANIA memecoin on Sunday, which diverted some of the funds of crypto investors.
The total number of TRUMP memecoins is limited to 1 billion, with 200 million tokens available initially, according to the official website. 80% of the memecoins are owned by CIC Digital, a subsidiary of the Trump
Organization, as well as Fight Fight Fight Fight LLC (corresponding to the Trump campaign slogan “Fight, fight, fight!”), in which CIC Digital is a co-owner.
CIC Digital used to sell Trump’s NFTs and campaign merchandise.
The bitcoin exchange rate reached another historical high the day before, exceeding $106 thousand. As of 9:42 a.m. on Monday, bitcoin rose by 1.9% to $105.11 thousand, according to Coindesk. On Sunday, the cryptocurrency rose to $106,491 thousand. Bitcoin’s growth has been going on for seven weeks in a row, the highest since 2021. The rate is supported by expectations of a favorable cryptocurrency policy under the Donald Trump administration. According to FactSet, since his election as US president, bitcoin ETFs have raised $9.3 billion. The next key level for this cryptocurrency is $110 thousand, MarketWatch reports.
