Dec 4 2024: Bitcoin prices edged slightly higher on Wednesday, maintaining stability just below $100,000 as investors awaited signals on U.S. monetary policy and the crypto-related direction of Donald Trump’s incoming administration.
The world’s largest cryptocurrency rose 0.3% to $96,418.1 by early morning trading, remaining within a $90,000 to $100,000 range that has defined recent weeks. Bitcoin saw sharp gains following Trump’s 2024 election victory but struggled to breach the $100,000 psychological barrier.
Trump’s Crypto Policies in the Spotlight
The crypto market is keenly watching Trump’s next moves, with the President-elect promising a crypto-friendly agenda. His campaign pledged to position the U.S. as a global crypto hub, including the possibility of establishing a Bitcoin national reserve and easing regulations.
Trump’s cabinet picks, especially for Treasury Secretary and Commerce Secretary, are reportedly pro-crypto, sparking optimism. Additionally, reports suggest Trump may shift crypto oversight to the Commodity Futures Trading Commission (CFTC) from the Securities and Exchange Commission (SEC), a move seen as beneficial for the sector.
A new SEC Chair, expected after Gary Gensler’s resignation in January, is also anticipated to bring a pro-crypto stance.
However, skepticism remains. Analysts doubt Trump will prioritize a Bitcoin reserve over his broader fiscal goals, such as reducing government spending and maintaining the dollar’s dominance. Further complicating matters, recent reports indicate the U.S. government mobilized $1.9 billion worth of Bitcoin to exchanges, raising fears of a large sell-off.
Altcoins Cool as Regulatory and Fed Cues Loom
Altcoins showed mixed performance on Wednesday, pausing after recent rallies as traders await more regulatory clarity and cues from the Federal Reserve.
- Ether (ETH): Up 0.9% to $3,666.0, sustaining its position as the leading altcoin.
- XRP: Fell 1% to $2.6010, cooling after hitting six-year highs amid speculation that the SEC might drop its lawsuit against Ripple under a new administration.
- Solana (SOL): Rose 3.9%, extending gains from bullish sentiment.
- Cardano (ADA): Dropped 5.4%, paring recent gains.
- Polygon (MATIC): Traded sideways.
- Dogecoin (DOGE): Slipped 1.1%, reflecting muted interest among meme coins.
Focus Shifts to Fed and Economic Data
The Federal Reserve’s monetary policy remains a key influence on crypto markets. Fed Chair Jerome Powell’s speech later today and the upcoming nonfarm payrolls data on Friday are expected to shape the near-term direction of crypto prices.
Market participants are also weighing Trump’s economic plans and whether they will deliver the regulatory certainty needed to sustain crypto’s recent momentum.
As the market digests these developments, Bitcoin and major altcoins are likely to remain in tight trading ranges, awaiting more decisive signals.
