In a stunning display of market enthusiasm, spot Bitcoin exchange-traded funds (ETFs) have crossed a major milestone, blasting past the $100 billion mark, according to data compiled by Bloomberg.
The new record set by the Bitcoin ETF comes as the underlying asset continues its record-breaking rally fueled by investors’ insatiable appetite for secure, compliant, and liquid exposure to the rapidly evolving and highly volatile cryptocurrency landscape.
The first wave of spot Bitcoin ETFs, including those from BlackRock Inc., Fidelity Investments, Invesco, Valkyrie, VanEck, and others, have propelled the market past $100 billion, solidifying their place as one of the most remarkable fund category launches in industry history, just 10 months after their debut.
Trump’s Triumph Sparks Bitcoin Boom
Donald Trump’s presidential win has sent BTC soaring to record-breaking heights. Its value is marching towards the $100,000 mark as traders eagerly anticipate policy changes favoring the crypto industry. At press time, the crypto asset is selling at $97,600.
This remarkable surge in BTC’s value and other crypto assets is driven mainly by Trump’s pro-crypto stance, which is expected to create a regulatory environment favorable to increased growth and adoption.
Bitcoin’s value increased by about 90% in 2024, a remarkable surge attributed to key factors, including the debut of Bitcoin ETFs and the impact of Donald Trump’s reelection, driven by his pro-crypto stance.
Consequently, the crypto asset emerged as the top performer in 2024, surpassing stocks, silver, and gold with a remarkable 49.2% year-to-date gain.
With Trump’s victory, the market is betting on a potentially crypto-friendly shift in policy, fueling the rally.
According to Caroline Bowler, the chief executive officer of BTC Markets Pty, “this price rally is being fed by the frequent pro-crypto news linked to the incoming Trump administration.”
Crypto Rally to Continue on Trump’s Pro-Crypto Agenda
During his campaign, Trump made bold commitments to the crypto community, pledging to foster an environment conducive to Bitcoin adoption and growth.
His promises include dominating the Bitcoin mining sector, creating a strategic crypto reserve, releasing the founder of the famous Silk Road, Ross Ulbricht, and firing the current SEC head, Gary Gensler.
Trump’s ability to fulfill his crypto-friendly promises is crucial in determining whether Bitcoin’s rally will continue. Time will tell if Trump’s administration will be a game-changer for the crypto space.
