Nov 25 2024: Bitcoin’s price saw a slight drop on Monday, stabilizing after significant weekend losses, as the cryptocurrency’s momentum toward the coveted $100,000 level stalled. Uncertainty around what Donald Trump’s presidency might mean for the crypto market added to the hesitation.
Last week, Bitcoin reached a series of record highs, peaking at $99,617.4, fueled by a rally following Trump’s victory in the 2024 presidential election. However, profit-taking and a lack of clarity on Trump’s crypto policies triggered a sharp weekend sell-off.
As of 00:10 ET (05:10 GMT), Bitcoin traded at $97,880.9, down 0.3%, after dipping to as low as $96,000 over the weekend.
Trump’s Treasury Pick: A Boost for Crypto Sentiment
On Friday, Trump nominated Scott Bessent, a prominent investor and founder of Key Square Group, as Treasury Secretary. Bessent has shown support for cryptocurrencies, praising Trump’s pro-crypto stance during a July interview with Fox News.
Seen as a moderate choice for the administration, Bessent is expected to advocate for tax reforms and a softer approach to trade restrictions, potentially benefiting the crypto sector.
Cantor Fitzgerald’s Bitcoin Lending Program in Talks with Tether
Howard Lutnick, Trump’s pick for Commerce Secretary, has also backed the crypto space. Lutnick’s firm, Cantor Fitzgerald, has assisted Tether in managing U.S. Treasury holdings and is reportedly exploring a $2 billion Bitcoin lending program in partnership with Tether.
According to Bloomberg, the initiative would allow Cantor Fitzgerald to lend dollars against Bitcoin, with Tether potentially providing financial backing. The project’s value could exceed tens of billions of dollars, reflecting Tether’s intent to diversify its profit streams.
Altcoins Mirror Bitcoin Losses
Broader cryptocurrency markets extended weekend losses on Monday.
- Ether (ETH): Fell 0.9% to $3,385.74.
- XRP: Declined 0.6% to $1.4547, cooling after last week’s gains fueled by the announcement of SEC Chair Gary Gensler’s January resignation. Gensler’s departure has spurred optimism for a less restrictive regulatory stance under Trump. XRP, a focus of the SEC’s lawsuit against Ripple, benefited the most from this sentiment.
- Other Tokens: Solana (SOL), Cardano (ADA), and Polygon (MATIC) recorded declines ranging from 0.5% to 3.3%.
- Dogecoin (DOGE): Slipped 2.4% amid a broader pullback in meme tokens.
