Bitcoin recovered after a 3% drop over the weekend, reaching $92,000 following the US elections. Trump promised to create a favorable regulatory framework for cryptocurrencies, but experts remain skeptical about the feasibility of these promises.
The digital asset fell due to changes in expectations about the impact of the new president’s policies, but soon rebounded. Analysts note that Bitcoin had become “overheated” after its record growth since November 5.
Trump, who previously criticized cryptocurrencies, shifted his stance after companies invested heavily in supporting his campaign. There is hope for the swift passage of cryptocurrency legislation, which would support the industry’s growth. However, the likelihood of creating a Bitcoin reserve in the US remains low.
Over the week, spot Bitcoin ETFs attracted $4.7 billion, but the market also faces pressure from inflation risks and the continuation of high interest rates.
