Bitcoin breaks six digits; reaches $100,000 milestone

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Despite hitting several all-time highs during the year, the price of Bitcoin has crossed $100,000 mark, reaching yet another milestone.

Balaji Srihari, Business Head, CoinSwitch, said, “Reaching the $100,000 milestone is monumental for Bitcoin (BTC), signaling a return to the record highs of 2021 is achievable — if not immediately, then eventually. Over the past month alone, BTC surged by 50 per cent, with its market cap crossing the $2 trillion threshold and delivering 144 per cent year-to-date (YTD) return. Riding this wave, other tokens have also gained significant traction — SOL and XRP have also hit an all-time high. However, this growth is still below the levels we experienced during the peak of 2021, underscoring the ecosystem’s untapped potential as we move toward brighter times.”

He added that Trump’s re-election has restored enthusiasm within the crypto community, supported by an uptick in institutional investments, Blackrocks’ spot Bitcoin ETF has surpassed 500,000 in assets under management (AUM), equating to $48 billion.

“Brazil and Russia are considering Bitcoin for reserves, signalling its growing global economic role. Based on historical post-halving performance, analysts project that Bitcoin could reach a peak of around $150,000 in 2025. If the past is any indicator, the April 2024 halving could spark a rally of 300–400 per cent, aligning perfectly with this forecasted target.”

Getting serious

In November, Bitcoin reached multiple all-time highs, starting at $75,000 before the elections, climbing to $82,000 following the announcement of the US presidential election results, and peaking at $94,000 two weeks ago.

Businessline had previously reported that crypto exchanges — CoinDCX, ZebPay and Bitbns — saw their trading volumes increase by 429 per cent, 240 per cent and 13 per cent, respectively, between August and November 2024. Data from Crebaco showed that following Trump’s victory in the US, CoinDCX saw a 506 per cent increase in trading volume by November 11. ZebPay mirrored this growth, with a 387 per cent increase in trading volumes in November’s first week.

Sumit Gupta, co-founder of CoinDCX, resonated that as Bitcoin surpasses $100,000, the breakthrough will prompt institutions, companies and countries to take Bitcoin and crypto more seriously.

“Retail investors may now view it as a validated, stable asset class and we could see deeper integration of Bitcoin into mainstream investment products,” he added.

According to Chainalysis’ 2024 Geography of Crypto report, published in 2023, India remained a top global cryptocurrency market. In the Central & Southern Asia and Oceania (CSAO) markets, India secured the second spot for cryptocurrency value received between June 2023 and June 2024, totalling nearly $150 billion. The CSAO region led the Chainalysis report’s Global Crypto Adoption Index 2024, with seven of the top 20 countries from this area, and India ranked first within the region.

Mohammed Roshan Aslam, the co-founder & CEO of GoSats, thinks Bitcoin will need regulatory and investor support in the coming months to sustain its growth.

“The impact of Bitcoin crossing the $100,000 level is significant not only because it finally broke the six-digit level, but because of its resilience to establish itself as the world’s most reliable risk asset. However, the next phase will be crucial for two reasons — sustaining its growth amidst increased whale and institutionalised investor activities and supplementary policy from world governments. Bitcoin and the larger crypto market are anticipating the creation of a strategic Bitcoin reserve in the US, along with policy reforms that support the growth of Bitcoin in the coming months,” he noted.