Bitcoin Price Hits New ATH At $77k As Trump Trade Continues

Bitcoin surged to a new all-time high of $77,043 following Donald Trump’s recent US election victory, which has sparked renewed interest in Bitcoin as a “risk-on” asset.

The surge comes as investors expect the U.S. economic landscape to shift under Trump’s leadership, fueling optimism for cryptocurrencies as alternative investments.

Bitcoin Price Hits New ATH At $77k

The election of Donald Trump has injected a wave of optimism into financial markets, with Bitcoin among the main beneficiaries. Following the election results, investors have shown increased appetite for riskier assets, expecting potential changes in U.S. economic policy that could favor capital growth.

Bitcoin-related products have seen a notable uptick in inflows, pushing the cryptocurrency to unprecedented levels.

Adding to this momentum, the United States Federal Reserve recently lowered interest rates by 0.25%, a move widely anticipated by the market. This rate cut, coupled with Powell’s statement that “economic activity has continued to expand at a solid pace,” has contributed to the bullish sentiment surrounding Bitcoin.

Federal Reserve Signals Cautious Optimism on Economic Outlook

The Federal Open Market Committee (FOMC) meeting concluded with a rate cut, signaling cautious optimism for the U.S. economy. Federal Reserve Chair Jerome Powell highlighted that “labor market conditions have generally eased, and the unemployment rate has moved up but remains low.” He also noted that inflation is progressing towards the Fed’s 2% target but remains elevated.

The Fed’s decision to lower interest rates has reinforced investors’ interest in alternative assets like Bitcoin, seen as a hedge against potential inflationary pressures. This environment of low rates combined with high economic expectations has strengthened Bitcoin’s appeal, driving more capital into the digital asset market.

However, despite the hitting an ATH, Santiment has warned of a reversal as excitement builds around the possibility of Bitcoin price reaching $80,000, they have observed that overly eager crowd sentiment often precedes a price retracement.

“When the crowd has gotten too eager about $80K+ BTC, we’ve seen prices retrace,”

Peter Brandt Predicts Bitcoin Peak at $150,000 in 2025

Veteran commodity trader Peter Brandt has projected that BTC price could reach $150,000 by August 2025. Brandt, known for his technical analysis, stated that Bitcoin is currently in the “sweet spot” of its bull market cycle. According to his analysis, Bitcoin’s price patterns following previous halving events suggest a similar trajectory this cycle.

Brandt measures Bitcoin’s cycles differently, observing that the timing between the bear market bottom and halving tends to mirror the period from halving to the bull cycle peak. Based on this symmetry, Brandt expects Bitcoin to peak sometime in 2025.

As BTC price continues its rally, analysts believe that the demand for Bitcoin ETFs could soon surpass that for gold ETFs. A top market analyst recently suggested that Bitcoin ETFs might triple the trading volume of gold ETFs, underscoring a growing shift towards digital assets among investors.

This increasing interest in Bitcoin ETFs like Blackrock IBIT hitting $1 billion daily inflows is seen as part of a broader move toward institutional acceptance of cryptocurrencies. The rise in Bitcoin’s price, coupled with growing ETF demand, could pave the way for further adoption in mainstream financial markets.

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.