Cryptocurrencies They present a mixed behavior this Wednesday. Bitcoin (BTC) barely experiences any movement in the last 24 hours, standing around US$93,300 after having touched US$100,000 in recent days.
As for ‘altcoins’, the performance is more favorable. Some coins like Binance Coin (BNB) are seeing slight pullbacks, while Solana (SOL) and Dogecoin (DOGE) remain fairly stable. However, most major cryptocurrencies such as XRP, Cardano (ADA), and Avalanche (AVAX) are recording strong increases. The case of Ethereum (ETH) stands out, which appears to be recovering after a period of weakness. The largest ‘altcoin’ on the market surpassed $3,500 for the first time since June last Monday.
Investors have begun to redirect their capital into smaller, riskier cryptocurrencies over the weekend, after bitcoin’s skyrocketing rise following Donald Trump’s election victory stalled. The ETH/BTC ratio, which measures Ethereum’s strength against bitcoin, fell to 0.0318 on Thursday, its lowest level since March 2021, but the indicator has rallied 15% since then, reaching 0.03660 in the last hours.
Bitcoin, Trump and the market
President-elect Donald Trump’s victory ushered in a new era of cryptocurrency enthusiasm as he vowed to “ensure America is the crypto capital of the planet.” To the delight of cryptocurrency executives and investors, the next president has also promised to create a national bitcoin reserve.
Last week, Bitcoin reached an all-time high, touching the mythical mark of $100,000. The president of the SEC, Gary Genslerwho has been a villain to the faithful of cryptocurrencies Due to his intervention in the industry, he is about to leave.
And although Trump has not yet named his preferred successor, his choices for key positions in his administration reflect a clear formation of a pro-crypto cabinet.
Trump’s picks to lead the Treasury and Commerce Departments — hedge fund executive Scott Bessent and Cantor Fitzgerald CEO Howard Lutnick — are both proponents of digital currencies. Trump’s support counts for a lot. But can a temperamentally traded asset be comparable to gold as a store of value or to real adoption of decentralized financial technology?
“Trump 2.0 is an excuse, not a reason, when it comes to bitcoin or other cryptocurrencies,” George Ball, president of Sanders Morris, told Yahoo Finance. However, Nicole Tanenbaum, partner and director of investment strategy at Checkers Financial Management, said that Trump’s allies in the crypto world could bring greater clarity to this asset class.
“The current high interest rate environment creates a different dynamic,” Tanenbaum said, “with many beginning to question how long the euphoria of the ‘Trump trade’ will last, as markets price in high expectations at lofty valuations.”
The conditions of the Bitcoin boom in 2024 are different from previous episodes. And the results, not so distant, may or may not be the same.
But what is not in doubt is another season of Christmas dinner conversations.
A new crop of post-Biden devotees is expected to mingle with veterans and winter survivors, bringing multigenerational bitcoin trauma — and exuberance — to the table this year.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
