bitcoins hit a new all-time high overnight after the first incoming pair released a pair of meme coins and as traders await the inauguration of incoming President Donald Trump.
On Monday, the flagship cryptocurrency was last up almost 1% at $106,622.54, according to Coin Metrics. Earlier, it rose as high as $109,350.72, after briefly falling below the $100,000 mark on Sunday.
Over the weekend, Trump released the “official trump“meme coin, which has reached a market capitalization of $10.6 billion and is up more than 659% since Friday night, according to data from CoinGecko and Coinbase. It was down about 27% on Monday from its record price of around $73 a coin, after returning first lady Melania Trump launched her own “Melania” meme coin on Sunday, nearly halving its value at one point.
Melania Memeswhich began trading on Sunday evening, has reached a market capitalization of $1.3 billion and a 14% price increase since its launch. It has attracted $7.3 billion in trading volumes over the past day, compared to $31 billion for the Trump meme.
Although meme coins are considered the riskiest corner of the already risky cryptocurrency market, the Trumps’ coin flips over the weekend gave traders greater conviction that the incoming administration will be positive for the industry.
“The move highlights President Trump’s embrace of cryptocurrencies and the belief that Americans should have the freedom to trade in the emerging asset class,” said Joel Kruger, market strategist at LMAX.
“There is a logic here that would suggest that putting a seal of approval on what could be perceived as the wildest of crypto assets, meme coins, is the best way to send a message of how supportive the market should expect the administration to be. when it comes to embracing cryptocurrencies and making the United States a major player in this space.”
Noelle Acheson, economist and author of the newsletter “Crypto is Macro Now,” echoed that sentiment and called the meme’s declines clearly positive and “a sign that it is very much in favor of new concepts.” (and) new markets.”
Bitcoin began gaining traction last week as speculation began to arise that Trump could announce an executive order on cryptocurrencies early in his new term. Gracy Chen, CEO of crypto exchange Bitget, said that optimism is having a larger effect on its price.
“Rumors that cryptocurrencies could be declared of national interest by the United States during the inauguration are having a positive effect on the price of bitcoin,” he told CNBC. “I don’t think the increase in bitcoin price is due to the launch of new meme tokens. Rather… without the launch of the Trump family tokens, the price of bitcoin would have grown more. Instead, capital shifted into new currencies, limiting normal growth. “.
The overall crypto market, as measured by the CoinDesk 20 index, fell 1% on Monday and has gained less than 1% since Saturday. The token linked to solarium is down more than 7% on Monday but is up 15% since Saturday, benefiting from the launch of the Trump meme coin on the Ethereum alternative network. Ether has lost 5% since Saturday.
Bitcoin’s new record opens the door for a possible upside extension to $130,000, LMAX’s Kruger added.
