Bitcoin Rally Stalls After Trump's Election Victory Sparks Surge

Forex - The Bitcoin rally sparked by Trump's election victory at the beginning of November has stalled as we approach the end of 2024.

Despite a squeeze in fluctuations, the price of Bitcoin continued its downward movement that started on Thursday. Currently trading at $93,792.40, Bitcoin's price came in about $15,000 below the record level seen in mid-December, showing a loss of 0.07% at this time.

Trump's preference for crypto-friendly regulations and support for a national Bitcoin reserve idea have boosted digital assets. However, diminishing expectations regarding Fed interest rate cuts have cooled the speculative frenzy. Following Trump's inauguration on January 20, greater clarity regarding the U.S. crypto regime is likely to emerge.

Chris Weston, research director at Pepperstone Group, noted that Bitcoin's momentum has "come off the post-election movement," partly due to exits from exchange-traded funds for the token. Meanwhile, software maker and Bitcoin hoarder MicroStrategy Inc. has experienced a purchasing frenzy over the past few weeks. Investors are waiting to see if the company, which holds over $40 billion in digital assets, will continue its practice of announcing Bitcoin purchases on Mondays.