Bitcoin soared to unprecedented heights on Thursday, breaking the $100,000 barrier for the first time. The milestone, widely regarded as a coming-of-age moment for digital assets, comes amid growing optimism about a pro-crypto U.S. administration under President-elect Donald Trump.
The cryptocurrency hit an all-time high of $103,619 during early Asian trading, buoyed by the announcement of Paul Atkins, a prominent crypto advocate, as Trump’s pick to lead the Securities and Exchange Commission (SEC). By mid-afternoon, Bitcoin was trading at $102,675, up 5% for the day.
The rally has catapulted the total cryptocurrency market value to a record $3.8 trillion, according to CoinGecko. For context, this puts the digital asset ecosystem on par with Apple Inc., the world’s most valuable publicly traded company, valued at $3.7 trillion.
Bitcoin’s meteoric rise—doubling its value in 2024 alone—has been driven by institutional adoption, regulatory clarity, and the political shift in Washington. Trump’s election victory, along with a wave of pro-crypto lawmakers entering Congress, has added further momentum.
“We are witnessing a paradigm shift,” said Mike Novogratz, CEO of Galaxy Digital, a U.S.-based crypto investment firm. “Bitcoin and the broader digital asset ecosystem are on the brink of entering the financial mainstream.”
Trump’s Crypto Pivot
Trump’s embrace of cryptocurrencies marks a stark turnaround from his earlier stance, when he dismissed Bitcoin as a “scam.” On the campaign trail, he vowed to position the U.S. as the “crypto capital of the planet” and even pledged to build a national stockpile of Bitcoin.
The nomination of Atkins to the SEC has reinforced optimism among crypto proponents. Atkins, a former SEC commissioner, has co-chaired the Token Alliance and worked closely with the Chamber of Digital Commerce to shape crypto policy. Industry leaders see his appointment as a signal of regulatory support for digital assets.
“Atkins will bring a deep understanding of the digital asset ecosystem to the SEC,” said Kristin Smith, CEO of the Blockchain Association. “We look forward to collaborating with him to usher in a new era of American crypto innovation.”
Trump’s administration has also floated plans for a dedicated crypto advisory council, drawing interest from companies like Ripple, Kraken, and Circle, all eager for a seat at the table.
From Fringe to Mainstream
Bitcoin’s rise to six figures is a remarkable recovery from its nadir in 2022, when it plunged below $16,000 following the collapse of the FTX exchange. The fallout led to the imprisonment of FTX founder Sam Bankman-Fried and cast a shadow over the industry.
Analysts attribute Bitcoin’s resurgence to growing institutional interest. U.S.-listed Bitcoin exchange-traded funds (ETFs), approved in January, have channeled over $4 billion into the market this year. BlackRock’s Bitcoin ETF, launched in November, has seen particularly strong demand.
“Roughly 3% of all Bitcoin that will ever exist was purchased by institutional investors in 2024,” said Geoff Kendrick, global head of digital assets research at Standard Chartered. “This normalization of digital assets as a legitimate asset class has been a key driver of this rally.”
Crypto-related stocks have mirrored Bitcoin’s ascent. Shares of Bitcoin miner MARA Holdings and exchange operator Coinbase have surged by 65% in November alone. MicroStrategy, a company holding over 402,000 Bitcoin, has seen its stock skyrocket 540% this year.
Energy, Crime, and Controversy
Despite its record-breaking rally, Bitcoin remains a lightning rod for criticism. Its massive energy consumption—comparable to that of Poland or South Africa—is frequently cited as an environmental concern. Meanwhile, its use in illicit activities continues to attract scrutiny.
On Wednesday, U.S. and British authorities announced the disruption of a global money laundering network that used cryptocurrencies to help wealthy Russians evade sanctions and launder funds for drug traffickers.
Still, Bitcoin’s resilience has earned it grudging respect even among skeptics. “Who can prohibit it? No one,” Russian President Vladimir Putin remarked at an investment conference on Wednesday, acknowledging Bitcoin’s staying power in the financial system.
The Future of Digital Assets
Bitcoin’s rise comes as Trump prepares to take office, with his administration poised to reshape U.S. policy on digital assets. Analysts believe this newfound political backing will accelerate the financialization of cryptocurrencies.
Shane Oliver, chief economist at AMP in Sydney, believes Bitcoin’s momentum is far from over. “It’s proving itself as part of the financial landscape,” he said. “While its value is hard to pin down, the momentum is undeniably strong.”
As institutional adoption grows, the cryptocurrency’s march into mainstream finance appears unstoppable. Whether Bitcoin’s energy concerns and regulatory risks will temper its ascent remains to be seen. For now, the world’s first cryptocurrency has firmly established itself as more than a speculative asset—it’s a symbol of financial innovation in an era of change.
