Bitcoin surged to an unprecedented high on Thursday, briefly hitting $124,500 during early Asian trading, surpassing its July peak before slightly retreating. The rise comes amid sweeping pro-cryptocurrency measures introduced by US President Donald Trump and a broader rally in Wall Street equities.
The digital currency’s surge coincided with record gains in the S&P 500 and the tech-heavy Nasdaq, reflecting renewed investor optimism, according to The Economic Times.
Trump, a vocal supporter of the crypto industry, has recently rolled back banking restrictions that had previously prevented financial institutions from partnering with companies flagged for “reputational risk,” a category that often included cryptocurrency firms.
“The crypto market is experiencing a period of extremely favorable fundamentals,” said Samer Hasn, senior market analyst at XS.com. “President Trump’s removal of these barriers has opened doors for banks to engage with crypto companies that were previously unfairly restricted.”
Analysts predict that Trump’s potential return to the White House could accelerate the integration of Bitcoin and other digital currencies into the US financial system. Hasn noted that Trump and his family’s growing involvement in the crypto sector could drive further deregulation.
Major investors driving the surge include Trump’s media ventures and Tesla, the electric vehicle company owned by Elon Musk, both of which have made significant Bitcoin purchases in recent months. Additionally, large-scale investors, known as “whales,” continue to accumulate coins, fueling speculation of another explosive market run if current policy momentum and investor confidence persist.
