Bitcoin Prepares to Reach New Milestone as Trump’s Inauguration Approaches, Expecting 10% Volatility in Major Coins: Analysts

Bitcoin (BTC) has experienced a surge in momentum, breaking through critical price levels as anticipation builds surrounding the pro-crypto policies of President-elect Donald Trump. Bitcoin’s recent rally, driven by softer-than-expected U.S. inflation data and expectations of favorable regulatory changes, has pushed the price above $100,000, reigniting optimism in the cryptocurrency market.

The market’s bullish sentiment has been further bolstered by the upcoming inauguration of Trump, who has previously voiced support for Bitcoin and cryptocurrency. With promises to create a strategic Bitcoin reserve and implement policies that favor digital assets, traders are positioning themselves for what could be a new era of crypto-friendly regulations in the U.S.

“Bitcoin’s ability to maintain its bullish trajectory, even in the face of broader market volatility, is a strong indication of investor confidence,” said Lucas Anderson, a market strategist at CoinVentures. “The anticipation of Trump’s inauguration has certainly acted as a catalyst, with many believing that his policies will provide the stability and legitimacy needed to push Bitcoin and other cryptocurrencies into mainstream adoption.”

However, despite the optimism, analysts caution that Bitcoin’s price action may face short-term volatility, especially as inflation data and other macroeconomic factors come into play. While the long-term outlook remains bullish, short-term fluctuations are expected as traders digest the latest economic data and speculate on the impact of upcoming political changes.

“Bitcoin’s price movement over the next few weeks will be influenced by both external market forces and internal factors, such as the regulatory changes brought about by the new administration,” said Emily Harris, a crypto analyst at BlockFund Research. “The market is poised for major shifts, and while the potential for new highs remains strong, there’s a lot of uncertainty in the short term.”

As Bitcoin approaches the $100,000 mark and expectations rise for further regulatory clarity, market participants are eagerly awaiting Trump’s first actions upon taking office, which could determine the future direction of the cryptocurrency market.