Following a strong rally kick-started on November 5, Bitcoin’s price has settled into a consolidation phase. Despite a brief dip below the $100,000 level, excitement continues to build around its potential for further growth.
Recently, Paul Manafort, who once served as Donald Trump’s campaign chairman, shared his confidence in Bitcoin’s upward momentum during the Bitcoin Mena conference held in Abu Dhabi. Manafort underscored Trump’s influence as a key advocate for the cryptocurrency sector, foreseeing a stronger Bitcoin once the President-elect assumes office on January 20.
Manafort praised Trump’s plans to overhaul the U.S. Securities and Exchange Commission (SEC) and suggested implementing a strategic Bitcoin reserve. This move, he believes, could cultivate a more welcoming environment for digital currencies. He enthusiastically stated, “We are on the brink of exciting times for crypto enthusiasts and investors. Those who rejoiced as Bitcoin hit $100,000 will soon have even more reasons to celebrate.”
The basis for Manafort’s optimism can be traced to Trump’s recent choices aimed at promoting a crypto-supportive regulatory landscape in the U.S. Notably, Trump has chosen Paul Atkins to helm the SEC, signaling a significant shift from the outgoing chair, Gary Gensler, on January 20. Gensler’s term has been marked by regulatory barriers that have hampered mainstream adoption and market growth over the past few years. His departure could also provide fresh regulatory clarity for ongoing legal wranglings tied to Ripple and Coinbase. Furthermore, Trump has appointed David Sacks as the first-ever “White House AI & Crypto Czar.” Sacks is expected to shape policies concerning both artificial intelligence and cryptocurrency.
Trump conveyed, “David will craft a legal framework to offer the crypto industry the clarity it demands, enabling it to flourish in the U.S.” Since Trump’s election last month, Bitcoin’s price has soared nearly 50%, boosted by increased buying interest from exchange-traded fund (ETF) issuers, who now collectively hold around $40 billion in Bitcoin.
Crypto analyst Ali Martinez has also shared insights on Bitcoin’s future through social media platform X, previously known as Twitter. He hinted at Bitcoin potentially reaching $275,000 if it follows a certain bullish pattern known as the cup and handle. Despite this optimism, Martinez warned that maintaining a position above $96,000 is critical. Should Bitcoin fall below this threshold, it may drop further to about $85,000, reflecting previous market tendencies.
Currently, Bitcoin continues to hover just above this crucial support level identified by analysts. For a sustained rise, Bitcoin will need additional drivers to avoid plunging to lower levels.
The daily chart illustrates Bitcoin’s price easing below the $100,000 mark, sourced from TradingView.com.
Image credit goes to DALL-E, with the chart from TradingView.com.
