Bitcoin's momentum

Bitcoin hit an impressive $89,000 for the first time on Monday.

The major cryptocurrency has surged more than 28% in the past week and nearly 11% in the past 24 hours.

Experts attribute this rise in part to recent political developments in the United States and anticipate that the price could continue to climb to six-digit figures.

Last week began with a slight correction: on 4 November, BTC/USDT fell 1.35% to $67,850 amid uncertainty ahead of the US election and a scheduled Federal Reserve (Fed) meeting.

However, the situation took a dramatic turn on 5 November, when the preliminary election results indicating Donald Trump's victory were released.

This announcement triggered a sharp rally in bitcoin, which reached $75,000, raising its market capitalisation to $2.564 trillion, with a market share of 57.1 %.

The uptrend intensified after the confirmation of the Republican victory, with bitcoin gaining 8.94% to $75,571.

This growth coincided with a strengthening dollar and rising stock indices. A key factor was the Fed's decision to cut the interest rate by 25 basis points to a range of 4.50-4.75 %, which was positively received by the markets.

Bitcoin's momentum does not seem to be slowing down. In the last few hours, the cryptocurrency briefly surpassed the market capitalisation of silver, reaching $1.736 trillion, according to CompaniesMarketCap data.

Many analysts believe this trend will continue, especially considering that Trump has expressed his support for cryptocurrencies, promising at the Bitcoin 2024 conference to make the US ‘the crypto capital of the world’.

Since the start of 2024, bitcoin has risen by more than 90 per cent thanks to strong demand for US exchange-traded funds.

Ricard Teng, chief executive of Binance, commented in an interview with the Financial Times that Trump's return to the White House could usher in ‘a golden century’ for the cryptocurrency market.