Bitcoin Hits Record High Ahead of Trump Inauguration
Bitcoin surged to an all-time high of over $109,000 before the inauguration of President-elect Donald Trump on Monday. This price hike follows the launch of the TRUMP meme coin on Friday and the subsequent trading frenzy. First Lady-elect Melania Trump also introduced her meme coin on Sunday.
On Friday, spot bitcoin ETFs saw inflows approaching $1 billion, indicating growing investor confidence in the incoming Trump administration's crypto-friendly stance.
Bitcoin reached a record above $109,000 ahead of Trump's inauguration amid optimism that his policies will benefit the crypto market. This surge coincides with the launch of meme coins by Trump and his wife over the weekend, further supporting the belief that the new administration will foster a positive environment for crypto investors.
Bitcoin currently trades around $105,000, having reached a high of $109,350 overnight. Since the early-November election, the digital currency has appreciated by 50%, with a recent surge fueled by anticipation of Trump's potential crypto-related announcements during or after his inaugural address.
Flows into spot bitcoin ETFs reflect the bullish sentiment. Farside Investors reports that spot ETFs attracted $975.6 million on Friday alone.
Additionally, prediction market Polymarket has raised the likelihood of Trump establishing a national bitcoin reserve in 2025 from 39% to 65% in the past week.
On Sunday, Trump remarked that bitcoin's post-election rally was part of a broader "Trump effect" on markets. During his campaign, Trump hinted at measures that could benefit the crypto industry.
Solana, the host network for the TRUMP and MELANIA meme coins, also set an all-time high over the weekend. As of Monday morning, the TRUMP meme coin holds a market capitalization of nearly $10 billion, despite experiencing a 44% drop within an hour of the MELANIA meme coin launch on Sunday.