Bitcoin created a major buzz this week with a remarkable surge, hitting six figures for the first time ever. However, profit-taking took its toll, pulling it back below the $100,000 milestone early Friday, as traders navigated the token’s dramatic swings and infamous gut-wrenching volatility.
In a whirlwind of volatile swings, Bitcoin soared to a record high of $103,700 per token yesterday before tumbling over 6%, closing the day with a 1.6% loss at $96,900 per coin.
What’s driving this historic rally that’s been making waves for weeks? President-elect Donald Trump might have the answer. He’s assembling a powerhouse team of crypto advocates to lead the efforts at the White House. Earlier this week, Trump tapped former SEC Commissioner Paul Atkins to replace current SEC Chair Gary Gensler.
Bitcoin’s meteoric rise has shaken the broader industry — and beyond. With Bitcoin price smashing past the $100,000 mark, traders pivoted away from crypto-linked stocks to join the surge in the flagship digital currency.
As a result, shares of crypto-heavy companies took a hit. MicroStrategy’s stock slid 4.8%, while Coinbase dropped 3.1%. Both stocks started the day with gains but gave up those advances as the session progressed.
Why does MicroStrategy stand out? It’s a bright sample of what happens when a company goes all-in on Bitcoin. Since its first crypto investment in 2020, the company has amassed a staggering 402,000 Bitcoin in its treasury, worth about $40 billion. Notably, with an average purchase price of $57,000 per Bitcoin, half of that value represents pure profit.
This bold strategy has propelled MicroStrategy stock into overdrive, skyrocketing nearly 500% this year to a market cap of $90 billion. Founder Michael Saylor remains laser-focused on Bitcoin, dismissing all other tokens in true maximalist fashion.
With Trump building his crypto dream team, could it be only a matter of time before Saylor is tapped for a pivotal government role in shaping crypto policy?