Bitcoin’s price surged past $80,000 for the first time, and even the $81,000 level, briefly hitting a new peak at $81,360, good for a 17% gain for the week, the highest since February, according to CoinMarketCap. Much of this rally followed Donald Trump’s recent U.S. election win, sparking optimism for regulatory clarity in the crypto space. At the time of writing, Bitcoin is trading at $80,650.
During his campaign, Trump committed to positioning the U.S. as a leader in the crypto industry, proposing a strategic Bitcoin reserve and pledging to appoint pro-crypto regulators. Since his victory on November 6, Bitcoin’s value has jumped by 16%, potentially setting up its strongest weekly performance since early this year.
Bitcoin’s year-to-date rally is now good for approximately 80% gains, driven by increasing demand for U.S.-based Bitcoin ETFs and recent Federal Reserve rate cuts in September and November. Last week, BlackRock’s IBIT fund added $1.1 billion in Bitcoin on just a single day, further fueling the rally. Bitcoin’s recent climb has significantly outpaced traditional investments, including stocks and gold, showcasing its growing appeal in uncertain financial times.
The recent jump has fueled speculation of a sustained bull run, with several analysts now eyeing a path toward $100,000 and possibly beyond. PlanB, known for his Stock-to-Flow (S2F) model, suggested to his followers that this bull cycle could even see an average price around $500,000, with a possible range of $250,000 to $1 million. As anticipation builds, market watchers are closely monitoring whether this momentum can carry Bitcoin to new record highs.
After the ETF fake-out earlier this year, bitcoin is now ready to take off. Stock-to-flow model predicts 500k average with 250k-1m bandwidth. Note this is the original 2019 model refitted with 5y new data: same parameters, same results (55k -> 500k -> 4m)https://t.co/9mxETi4N1W pic.twitter.com/U9sgoxHZO3
— PlanB (@100trillionUSD) November 9, 2024