Bitcoin briefly topped $77,000 on Friday, setting a new all-time high for the cryptocurrency.
The recent surge in Bitcoin’s value has been attributed to Trump’s election win and the promise of a more crypto-friendly administration.
Investors have poured billions into spot Bitcoin ETFs on Wednesday and Thursday. These ETFs hold Bitcoin and have helped propel its price to new highs earlier this year.
With Bitcoin’s recent jump, an increasing number of analysts are predicting that its price will surpass $100,000 by the end of the year.
Bitcoin (BTCUSD) hit another record high on Friday, fueled by optimism surrounding the election of Donald Trump and the potential for a more crypto-friendly Congress.
The largest cryptocurrency by market cap reached as high as $77,300 on Friday afternoon, just days after setting other price milestones.
This comes as the stock market has also reached a series of all-time highs following Trump’s decisive victory in the Tuesday presidential election.
Over the past two days, nearly $2 billion has been invested into spot Bitcoin exchange-traded funds, according to data from Farside Investors.
On Thursday alone, these products saw $1.3 billion in net inflows, with approximately $1.1 billion of those funds going into BlackRock’s iShares Bitcoin Trust (IBIT).
These products hold Bitcoin, and as investors pour money into them, they can fuel demand for Bitcoin, pushing prices higher, similar to what happened earlier this year.
Trump’s embrace of cryptocurrencies during this election cycle, a reversal of his previous criticism, and his promise to create a strategic Bitcoin reserve have boosted sentiment.
He also vowed to replace Gary Gensler, chair of the U.S. Securities and Exchange Commission, who has pursued strict enforcement against the crypto industry.
The election has also brought more pro-crypto lawmakers into office. According to Coinbase research, the House of Representatives now has 263 pro-crypto candidates versus 118 anti-crypto candidates, and the Senate has 18 pro-crypto candidates versus 12 anti-crypto candidates.
This not only fuels investor enthusiasm in the near term but also leads to growing projections for Bitcoin prices to cross the $100K mark.
Bitwise CIO Matt Hougan expects Bitcoin prices to cross $100,000 by the end of this year, and he is not alone in this prediction.
“Six figures is still possible for Bitcoin before the end of the year, and then more next year,” Fundstrat head of research, Tom Lee, told CNBC on Friday.
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