The world’s largest cryptocurrency broke out of a trading range seen in the past two weeks after Trump ended speculation over his pick for the SEC Chair by nominating former commissioner Paul Atkins. Atkins has openly expressed support for digital assets.
Bitcoin rose 7.5% to a record high of $103,719.4.
Atkins will replace incumbent SEC Chair Gary Gensler, who said he will step down as Trump takes office in January.
Genseler had led a two-year crackdown on alleged bad actors in the crypto industry, launching enforcement action against several major companies, including Coinbase (NASDAQ:COIN) and Ripple, over allegations of selling illegal securities.
Atkins- who is a seasoned financial regulator- is expected to adopt a less strict stance against crypto. He has advocated for deregulation and has expressed support for digital assets.
“Atkins… recognizes that digital assets & other innovations are crucial to Making America Greater than Ever Before,” Trump said in a social media post.
Altcoin XRP was one of the biggest beneficiaries of speculation over Atkins’ nomination. The token rallied to six-year highs this week on hopes that the SEC will drop its long running lawsuit against issuer Ripple.
Trump is also expected to potentially shift regulatory oversight for crypto to the Commodity Futures Trading Commission from the SEC.
Federal Reserve Chair Jerome Powell compared Bitcoin to gold in a Wednesday address.
Speaking at a New York Times (NYSE:NYT) event, Powell said Bitcoin was a competitor for gold, not the dollar, in that traders treated it as a speculative asset rather than a usable currency.
Broader crypto prices also mostly rose in anticipation of friendlier policies under Trump.
World no.1 altcoin Ether rose 5% to $3,865.31.
XRP slid 11.8% as traders locked-in recent profits from a sharp melt-up in the token.
Cardano was flat, while Solana fell 1%. Polygon lost 2.6%, although all three tokens were sitting on strong gains in recent weeks.
Meme tokens fared much better, with Dogecoin up nearly 8%. The coin was likely referenced by Trump with the formation of the Department of Government Efficiency (DOGE), which will be co-led by Dogecoin enthusiast Elon Musk.
Source: Cryptocurrency - investing.com
