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On the heels of a rally sparked by Donald Trump’s presidential election win, Bitcoin’s price is finally moderating — but not before beating out silver to become the eighth largest asset in the world.
As of Tuesday morning, the leading cryptocurrency was valued at about $86,900, giving it a market capitalization of $1.72 trillion. That gives it a lead on silver’s $1.71 trillion market cap, but still falls well short of gold’s estimated $17.52 trillion.
Bitcoin’s price had risen 5.6% over the prior 24 hours, adding to a rally that saw its value surge 30% in less than a week and hit several new record highs.
Bitcoin is expected to continue barreling forward as investors’ optimism and enthusiasm grows on Trump’s return to the White House. Some analysts say Bitcoin could even cross the $100,000 threshold as a result. That seems increasingly likely as it nears the $90,000 mark, with six weeks to go before year’s end.
Starting in January, crypto fans and investors will — for the first time ever — have a friendly face in the Oval Office. Throughout his campaign, Trump took an unprecedented pro-Bitcoin stance, championing the digital currency as a symbol of financial independence and an alternative to traditional banking. Labeling himself as the “crypto candidate,” Trump fully embraced digital assets, even accepting donations in a range of cryptocurrencies, including Bitcoin, Ether, Dogecoin, and Solana.
Trump also attended and addressed a Bitcoin conference in July, where he touted a commitment to positioning America at the forefront of the crypto revolution.
Among other promises to the crypto industry on the campaign trail, Trump vowed to create a national Bitcoin reserve, as well as a “Bitcoin and crypto presidential advisory council.”
“The rules will be written by people who love your industry, not hate your industry,” he said.
Following Trump’s election win last week, investors began pouring cash into spot Bitcoin ETFs, or exchange-traded funds. On Thursday alone, U.S. Bitcoin ETFs recorded unprecedented inflows of $1.3 billion. BlackRock (BLK+1.46%), the world’s largest asset manager, led with more than $1 billion directed into its Bitcoin ETF, while Fidelity’s FBTC saw an inflow of $190 million, according to data from Farside.
Bitcoin’s new all-time highs have lifted the entire cryptocurrency market, driving significant gains across a number of other digital assets. Ether, the native token of the Ethereum blockchain, was priced at more than $3,200 as of Tuesday morning, and Dogecoin jumped 30% in the past 24 hours. Others, including Solana and Cardano, have taken a tumble.
All together, the global crypto market has a valuation of $2.91 trillion, a 4.09% increase in the past day, according to CoinMarketCap.
— Vinamrata Chaturvedi contributed to this article.