Today's Bitcoin Performance: Rallies to Nearly $97k on Optimism Over Prospects of Deregulation in the US
Go Wire
January 3, 2025
GoGPT Summarizes Articles
On Friday (January 3rd), Bitcoin $BTC rebounded from its year-end low. Bitcoin's rally came as traders believed a bright regulatory outlook in the US under incoming President Donald Trump.
The broader cryptocurrency market was struck by massive sell-offs in late 2024 as traders locked in profitable returns for the year and caution rose due to a declining frequency of the Fed funds rate.
Nonetheless, the prospect of deregulation under the Trump administration cheered up the cryptocurrency market, reversing Bitcoin's loss into a gain.
Still, cryptocurrencies have new threats. Throughout the week, USDT's market value fell 1.4% to about $137 billion following the European Union's implementation of its Markets in Crypto Assets Regulation (MiCA). The law strictly regulates stablecoins issued within the bloc, requiring issuers to obtain an operating license.
Afterward, stablecoin Tether's market capitalization obtained its worst drop since the 2022 FTX crash. Several European exchanges and Coinbase Global Inc $COIN, ruled out stablecoins from their platforms due to compliance concerns.
USDT, the world's largest stablecoin pegged to the dollar, facilitates heavy trading of cryptocurrencies. Given the scope of MiCA's popularity in the crypto market, the exposure may mitigate the threat of MiCA for USDT.
The broader cryptocurrency market also recovered on Friday, ending the year-end weakness.
At press time, Bitcoin rises 0.57%. Ethereum jumps up 0.38%. XRP climbs 1.66%.
Dogecoin $DOGE, the leading meme token, is up 1.83%.
#Bitcoin Surpasses $100000: How High Will It Climb?#$Coinbase Global Inc. Class A Common Stock(COIN)#$Grayscale Bitcoin Mini Trust ETF(BTC)#$DOGE/USDT COINBASE(DOGE)