The Mystery of Bitcoin: Will Trump’s Inauguration Ignite a New Surge or Signal Stability Ahead?

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Bitcoin has encountered notable price fluctuations in December, unable to maintain levels above $100,000. However, ARK Invest’s recent report indicates such volatility is comparatively moderate in historical terms. According to ARK’s “The Bitcoin Monthly” for December, the cryptocurrency’s monthly volatility remains low relative to its annual fluctuations, suggesting potential growth in 2025.

The report highlights that Bitcoin’s current volatility levels do not signify a “mania phase,” implying room for further market expansion, especially in a bull market environment. Several bullish indicators support this prediction, including increased mining difficulty and strong holder behavior. Notably, 62% of Bitcoin’s supply has remained unmoved for over a year, despite substantial gains in 2024.


Amidst this backdrop, anticipation is building ahead of Donald Trump’s inauguration. Bitcoin surged past $100,000 following Trump’s election, with expectations that his administration will bolster the crypto sector in the US. Trump has nominated pro-crypto figures, including Paul Atkins as head of the Securities and Exchange Commission and David Sacks as his adviser on crypto and AI. These appointments have been well-received by the crypto community.

Pantera Capital anticipates that Trump’s presidency will enhance Bitcoin’s legitimacy, potentially driving prices to new highs. Reports suggest that Trump may issue crypto-specific executive orders soon after taking office on January 20, potentially cementing the administration’s commitment to the burgeoning sector.