Bitcoin more than doubled in 2024, driven by the U.S. Securities and Exchange Commission’s approval of exchange-traded funds (ETFs) tied to its spot price and optimism surrounding Donald Trump’s return to the White House. The cryptocurrency hit a milestone of $100,000 in December, sparking investor enthusiasm.
The surge in Bitcoin and a 50% rise in Ether propelled the cryptocurrency market’s total value to $3.5 trillion, according to CoinGecko. Analysts at Bernstein predict further gains, expecting Bitcoin to reach $200,000 by late 2025.
MicroStrategy, the world’s largest corporate Bitcoin holder, saw its shares surge fivefold in 2024, joining the Nasdaq-100 index as a proxy for Bitcoin’s performance. Other financial giants like BlackRock and Fidelity launched ETFs, giving the sector institutional legitimacy and mainstream appeal.
Trump’s victory, coupled with his promise to make the U.S. the “crypto capital of the planet,” further bolstered market sentiment. Industry players donated millions during the election to support pro-crypto candidates.
However, not all participants thrived. Bitcoin miners faced higher energy and hardware costs, with stocks like Riot Platforms and Marathon Digital falling over 25% this year.
