This morning, Bitcoin (BTC-USD) will attempt to re-take the $107,000 high. The rally lost steam later in the day on Monday. Markets are betting that the incoming President will set up a U.S. bitcoin strategic reserve. This would work like a strategic oil reserve.
A reserve would validate Bitcoin as a geopolitically important tool. The news sent MicroStrategy (MSTR) higher. The Nasdaq 100 will add MSTR stock to the index, despite shares already rising by 546.75% in 2024.
Bitcoin gained more than 50% since the election on November 5. CoinGecko reported that the cryptocurrency market capitalization is now over $3.8 trillion. Trump named ex-PayPal (PYPL) executive Donald Sacks as the White House artificial intelligence and cryptocurrency czar. In addition, he plans to name Paul Atkins, a pro-crypto attorney, as the head of the Securities and Exchange Commission.
Investors who do not have a position in this crypto space flooded the bitcoin exchange-traded funds. They cannot afford to miss out on the sector as prices continue to rise. Still, investors who bought gold fared well. The SPDR Gold Shares ETF (GLD) is up by 28.1% YTD. Gold miners, however, declined. Barrick Gold (GOLD) is down nearly 10% this year. Newmont (NEM) is down by 3.17% YTD.
