Bitcoin (BTC-USD) rose back above $98,000 to trade near record highs reached earlier on Thursday after the Securities and Exchange Commission announced Chair Gary Gensler will step down effective January 20, the day Donald Trump is scheduled to be sworn into the White House.
The token had surpassed $98,300 in early trading before paring gains as investors remained bullish on pro-crypto policies from the incoming Trump administration.
Bitcoin has soared roughly 40% since the presidential election on Nov. 5, hitting multiple milestones as investors eye targets of $100,000.
Reports of President-elect Donald Trump’s transition team discussing the possibility of a first-ever role for crypto policy also sent the token higher over the past 24 hours.
Bitcoin has been a key component of the Trump trade, as Trump has promised to explore crypto-friendly initiatives, including the creation of a bitcoin national stockpile and the replacement of the Securities and Exchange Commissioner Gary Gensler.
Read more: Bitcoin clears another record: Is this a good time to invest?
Digital asset firm Galaxy Digital (GLXY.TO, BRPHF) CEO Mike Novogratz told Yahoo Finance on Wednesday that whomever Trump chooses to head the SEC will be positive for bitcoin given the “overall pro-crypto attitude” of the president-elect’s team.
“All the guys around the table like our space. They believe in the digital asset world. They believe in blockchains and bitcoin, and so the whole energy of this administration is going to be so different than the Elizabeth Warren, Gary Gensler era,” Novogratz said.
The move higher in bitcoin this week also comes on the heels of a Financial Times report stating that Trump Media & Technology Group (DJT) is in advanced talks to acquire crypto trading company Bakkt (BKKT), a tie-up that could further encourage initiatives within the sector.
Meanwhile, bitcoin spot ETFs have also seen massive inflows in recent weeks.
As Yahoo Finance’s David Hollerith reported earlier this week, BlackRock’s spot bitcoin ETF (IBIT) saw its assets rise by $13 billion in the wake of Trump’s presidential win, according to Yahoo Finance data. This pushed assets in the iShares Bitcoin Trust past $40 billion just 10 months after its launch.
Options tied to IBIT also began trading on the Nasdaq on Tuesday, pushing additional trading activity into the crypto space.
Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre.
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