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Bitcoin price soars above $100,000 on Wednesday after the latest US inflation report matched analyst expectations Bitcoin price crosses six-digit threshold, post-election The range of increase has expanded.
Cryptocurrency surpassed six-digit milestone earlier this month on post-election surge … (+)
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Bitcoin rose nearly 6% to over $101,300 as of around 3:15 p.m. ET on Wednesday, after falling as low as $94,304 in a two-day slide.
The cryptocurrency crossed the $100,000 milestone for the first time late on December 4, and at one point hit an intraday record of $103,844.05.
The return to six digits follows the latest report from the Bureau of Labor Statistics, which showed that inflation rose 2.7% in November, but that core inflation, a measure that excludes food and energy costs, was lower than in October. This indicates that there has been no change from the annual rate of increase of 3.3%. This is in line with analyst expectations.
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52.8%. This is how much the price of Bitcoin rose from November 4th, the day before the election, to December 4th. During this period, Bitcoin crossed the $90,000 threshold just three days after first exceeding $80,000. It took another three weeks for Bitcoin to reach $100,000.
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Analysts say the US Federal Reserve is likely to cut interest rates next week after November's inflation data matched expectations. According to Fidelity, optimism about lower interest rates tends to drive Bitcoin prices higher, as lower interest rates can improve the liquidity of assets such as cryptocurrencies. Bitcoin was already on the rise before the presidential election, with the cryptocurrency's price soaring 70% by the end of October. The surge comes after the Securities and Exchange Commission approved a Spot Bitcoin exchange-traded fund in January. President-elect Donald Trump, who has long criticized cryptocurrencies, has called for the United States to become the “cryptocurrency capital of the world.” He has announced support for Bitcoin mining and previously sold a series of Trump-branded NFTs, with about $3 million of his $6 billion fortune as of Sept. 30, according to estimates by Forbes. Dollars are invested in virtual currencies. Within weeks of winning the election, President Trump appointed Paul Atkins to lead the SEC, citing Atkins' pro-crypto views. Current SEC head Gary Gensler, who has led enforcement actions against multiple crypto companies, announced in January that he will step down from his position.
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