Bitcoin Jumps To New Record Above $109,000 As Traders Cheer Trump Inauguration, Meme Coins

Bitcoin hit a new all-time high overnight after the incoming first couple launched a pair of meme coins and as traders await the inauguration of President-elect Donald Trump.

On Monday, the flagship cryptocurrency was last up nearly 1% at $106,622.54, according to Coin Metrics. Earlier, it rose as high as $109,350.72 after dipping below the $100,000 mark on Sunday.

Over the weekend, Trump launched “The official Trump” meme coin, which has risen to a market cap of $10.6 billion and is up more than 659% since Friday night, according to data from CoinGecko and Coinbase. On Monday, it was down about 27% from a record price of about $73 per . coin after returning first lady Melania Trump launched her own “Melania” meme coin on Sunday — nearly halving the Trump coin’s value at one point.

Melania Memewhich began trading Sunday evening, has hit a market cap of $1.3 billion and a 14% price increase since launch. It has attracted $7.3 billion in trading volume over the past day, compared to the Trump meme’s $31 billion.

Although meme coins are considered the riskiest corner of the already risky cryptocurrency market, Trumps coin launches over the weekend gave traders further confidence that the incoming administration will be positive for the industry.

“The move highlights President Trump’s embrace of crypto and belief that Americans should have the freedom to operate in the new asset class,” said Joel Kruger, market strategist at LMAX.

“There is a logic here that suggests that putting a stamp on what could be perceived as the wildest of cryptoassets, meme coins, is the best way to send a message about how supportive the market should expect that the administration is. when it comes to embracing crypto and making America a major player in the space.”

Noelle Acheson, economist and author of the “Crypto is Macro Now” newsletter, echoed that sentiment, calling the meme drops a net positive and “a sign that he’s very much in favor of new ideas (and) new markets.”

Investors on Monday will be fixated on Trump’s inauguration, looking for crypto-related orders.

Bitcoin’s new record opens the door to a possible upward extension to $130,000, LMAX’s Kruger added.