Bitcoin surged to a new all-time high of $89,637 (approximately Rs 7.44 lakh) on Tuesday, continuing its record-breaking rally. This spike comes as former President Donald Trump promises to make the United States “the crypto capital of the planet.” Investors are closely watching as Trump’s crypto-friendly stance boosts confidence in the cryptocurrency.
Meanwhile, the U.S. dollar approached a four-month peak against major currencies, driven by expectations of strong U.S. economic performance and Trump’s trade agenda. The euro remained near a seven-month low, and the Chinese yuan struggled near a three-month low, amid looming tariff threats from the incoming administration.
The U.S. dollar index, which tracks the dollar against six major currencies, rose 0.07% to 105.49, after reaching 105.70 on Monday, its highest level since early July.
Analysts are predicting that Bitcoin could reach $100,000 by the end of the year, with financial markets anticipating continued economic growth under Trump’s leadership. Additionally, expectations that the Federal Reserve may not cut interest rates as expected have fueled further strength in the dollar.
Trump’s Republican control of Congress will allow him to pursue tax cuts, government shrinkage, and a hardline trade policy. He has warned Europe and China of potential tariffs, especially targeting cars and exports. The euro dropped to $1.0629, its lowest since April, while the yuan weakened to 7.2337 per dollar, its lowest point since August. The yen also edged closer to a three-month low, continuing its decline.
