Bitcoin Reaches New Peak amid Trump-Fueled Frenzy
TEHRAN (Tasnim) – Bitcoin surged to over $108,000 for the first time on Monday, marking a new record as the cryptocurrency market buzzed ahead of Donald Trump's inauguration.
Bitcoin reached a historic high above $108,000 on Monday morning, just hours before Donald Trump was set to assume the US presidency. The cryptocurrency's price increase was part of a broader market frenzy sparked by Trump's cryptocurrency launches.
Trump introduced his own coin, $TRUMP, which quickly surpassed a $5 billion market capitalization. In parallel, his wife Melania launched a meme coin, $MELANIA, over the weekend, targeting the growing niche of meme cryptocurrencies.
"The Official Melania Meme is live! You can buy $MELANIA now," Melania wrote on X, promoting her new coin. The currency is based on the Solana blockchain and categorized as "fungible crypto assets."
Trump, the incoming US president, has vowed to position the US as the "bitcoin capital of the world," following the launch of his own coin. On Truth Social, he encouraged his followers, saying, "It’s time to celebrate everything we stand for: WINNING! Join my very special Trump Community. GET YOUR $TRUMP NOW."
Although Trump previously called cryptocurrency a "scam," he reversed his stance during his campaign, becoming the first presidential candidate to accept digital assets as campaign donations. His political donations can now be made via any cryptocurrency through the Coinbase Commerce platform.
Meanwhile, Trump's cryptocurrency saw a massive spike on Monday, reaching a market cap of $9 billion, with trading volume surpassing $42 billion. The $TRUMP meme coin rose 73 percent to $46.06 during Asian market hours.
While the meme coin's launch was unexpected, its surge sparked skepticism within the crypto community. "While it's tempting to dismiss this as just another Trump spectacle, the launch of the official Trump token opens up a Pandora's box of ethical and regulatory questions," said Justin D'Anethan, an independent crypto analyst.
D'Anethan raised concerns about the blending of decentralized finance (DeFi) with politics, saying it blurs "the lines between governance, profit, and influence." He questioned whether public figures, especially those with significant political power, should influence speculative markets.
The crypto industry is hopeful that Trump's presidency could lead to looser regulations, further fueling the rally seen in Bitcoin following his election victory in November.