Bitcoin is nearing the $100,000 milestone as market momentum builds ahead of Donald Trump’s anticipated election ratification.
The cryptocurrency climbed 1.41% on Monday to reach $99,871, capping a weekly gain of 5.66%—its strongest since November 24, according to Bloomberg data.
Bitcoin’s remarkable rally in 2024 slowed in late December as investors took profits.
Earlier, optimism over a pro-crypto stance under Trump’s potential administration had driven the token to a record high of $108,315.
Congress is set to certify Trump’s election victory on Monday, which could further influence market sentiment.
“A super cycle of 2025 is anticipated with regulatory reforms by the Trump government,” said Khushboo Khullar, venture partner at Lightning Ventures, which invests in Bitcoin-linked firms.
The shift in momentum follows a net inflow of $908 million into US Bitcoin exchange-traded funds (ETFs) on Friday, marking the fifth-largest inflow since their debut in January 2024, according to Bloomberg data.
This comes after a record net outflow of $680 million from the same funds on December 19.
Also boosting Bitcoin sentiment is the recovery of the Bitcoin Coinbase Premium, which measures the price difference between Bitcoin on Coinbase Global Inc., a top US crypto exchange, and Binance Holdings Ltd., a major global platform.
At the beginning of the new year, the Bitcoin Coinbase Premium had dropped to its lowest level since the 2022 collapse of Sam Bankman-Fried’s FTX.
However, it has since rebounded, signaling a resurgence in investor demand in the US.
“The ETF issuers almost all trade and custody with Coinbase so they tend to push the premium or discount based on demand for the ETF,” said Joe McCann, founder and chief executive officer of Miami-based crypto hedge fund Asymmetric.
Bitcoin’s outlook for 2025 will partly depend on how much Trump honors his crypto commitments, including his proposal to create a national Bitcoin stockpile.
