Trump Drives Bitcoin To $112K As Crypto Market Hits $3.4 Trillion

HomeNews* Bitcoin and cryptocurrency market capitalization reached $3.4 trillion in 2024.

• President Donald Trump supported new crypto legislation and predicted significant increases in bitcoin investment.
• Bitcoin prices neared an all-time high of $112,000, rebounding from previous lows.
• The Senate passed the Genius Act, aiming to establish regulations for stablecoins in the U.S.
• Market analysts see a strong potential for further bitcoin growth as monetary policies and pending legislation align. The total value of the bitcoin and cryptocurrency market climbed to $3.4 trillion this year, with bitcoin prices recovering sharply and approaching their highest level ever. The resurgence comes as President Donald Trump has promoted upcoming crypto regulations and made public predictions about substantial new investments in the sector.

• Advertisement - Bitcoin traded close to $112,000 per coin, recovering from April’s low of $75,000, according to recent market data. The market is also reacting to expectations that the Federal Reserve may soon lower interest rates, potentially releasing more cash for investment in crypto assets.

Investor attention has focused on statements made by David Sacks, Trump’s appointed crypto czar, who said on X that "July will be a big month," pointing to a possible signing of the Genius Act, a stablecoin regulatory bill, and the market structure Clarity Act heading to the Senate. Trump has voiced support for both bills, saying they would provide clarity for the crypto industry. He commented, "President Trump supports Clarity on market structure as well as Genius on stablecoins. Let’s get this done!"

The Genius Act, already passed by the Senate, is intended to create rules for stablecoins—crypto tokens backed by the U.S. dollar or other stable assets. Trump said the bill could lead to "massive" investments in crypto if it passes the House of Representatives. During a press conference last week, he said bitcoin is "taking a lot of pressure off the dollar, and it is a great thing for our country," and described bitcoin as "amazing."

The U.S. dollar index, a measure of the dollar’s value against other major currencies, is experiencing its largest six-month fall since the 1970s. At the same time, Federal Reserve Chair Jerome Powell faces calls to cut interest rates as inflation trends toward a 2% target. Investor Chamath Palihapitiya noted that "trillions and trillions of dollars of dry powder on the sidelines" may move into new investments if rates fall and regulations become clearer.

Analysts predict that if bitcoin breaks above $110,000, the price could quickly reach $120,000. Matt Mena, a crypto strategy analyst at 21Shares, predicted, "With policy, macro, and flows aligning, bitcoin may be setting up for a bullish end to the year—where a push toward $200,000 is no longer just a long shot, but a growing probability."

The Trump administration has accelerated efforts to clarify how regulators oversee the crypto sector, aiming to legitimize dollar-pegged stablecoins and address long-standing industry uncertainty. Additional legislation and policy signals are expected in the coming months.

• Advertisement - For more on these developments, see the full story on Forbes.

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