Bitcoin (BTC) hit its highest price of 2025 in U.S. dollar terms on Friday and set a new record against the British pound, as excitement grows ahead of Donald Trump's inauguration next week for a new era of crypto-friendly U.S. government .
BTC topped $105,000 during the U.S. session, surging 5.2% in the past 24 hours and leading the broad market cryptocurrency benchmark CoinDesk 20 index higher. Among the CoinDesk 20 constituents, only NEAR and Litecoin’s LTC have kept pace with Bitcoin’s gains, while Solana (SOL) and Ethereum’s Ethereum (ETH) have lagged behind with gains of 3%. XRP fell 4%, retreating from all-time highs after leading the market sharply higher earlier this week.
Cryptocurrency-related stocks are also moving higher. MicroStrategy (MSTR), the largest corporate holder of BTC, is up 7% on the day, while exchange giant Coinbase (COIN) is up 4.5%. MARA Holdings led gains among major Bitcoin miners, rising 13%.
That's a big turnaround from earlier this week, when a broader market selloff sent Bitcoin sliding below $90,000 amid growing concerns of a further pullback. However, as investor anxiety over Wednesday’s U.S. Consumer Price Index (CPI) inflation report passes, the focus then turns to speculation about Donald Trump’s possible actions on cryptocurrencies following his inauguration on January 20 , Bitcoin first rebounded by 17%.
Alex Thorn, head of research at Galaxy, said BTC overcame last week’s local high of $102,000 and also broke above the downtrend of multi-week lows to target December’s all-time high price.
“$108,000 is now the near-term target resistance,” he said in an X post. "There are a lot of reasons to be bullish."
According to data from Farside Investors, spot Bitcoin ETFs have experienced a total net inflow of $1.381 billion over the past two days, reversing a four-day trend of outflows. The Ethereum spot ETF attracted $166 million in inflows, its strongest day in more than a month.
With markets closed on Monday, today is the last trading day for traditional markets before Trump takes office.
BlackRock's Ishares Bitcoin Trust ETF (IBIT) recorded nearly $1 billion in trading volume in the first hour of trading, ranking it fourth among all U.S. ETFs and surpassing Vanguard )'s S&P 500 ETF (VOO), which has almost ten times the assets. Management, based on bar chart data.
The most important upcoming catalyst will be Trump's inauguration on Monday, with cryptocurrency investors anticipating a sea change under the new president. Trump promised on the campaign trail to position the United States as a leader in cryptocurrency, including establishing a national Bitcoin reserve, a stark contrast to the regulatory crackdown and enforcement of the past few years.
Bloomberg reported on Thursday that Trump plans to issue an executive order to elevate digital assets to a “national priority” and establish an advisory committee composed of industry members to provide policy advice.
The likelihood of the United States establishing a Bitcoin reserve has risen sharply over the past few days, with Polymarket traders placing a 38% chance of Trump achieving this goal within the first 100 days of his presidency.
John Glover, chief investment officer of cryptocurrency lender Ledn, said in an email: “As the final week of the Biden presidency comes to an end, the technical outlook for BTC remains very constructive.”
“The only thing that could lead to a significant pullback is if Trump fails to act on his plan to loosen regulatory policies on digital assets and start accumulating Bitcoin Treasury holdings,” he added. “Recent headlines suggest that He's serious about making this his top priority in his first 100 days in office,"
Glover's analysis using wave theory predicts that Bitcoin will reach $128,000 in the coming months after a mid-term 5-wave pattern, completing the larger 3 waves of its uptrend. According to the wave theory, market trends are divided into five waves, three of which represent the main trend and the others represent pullbacks.
Glover said a break above the all-time high of $108,000 is key, while the likelihood of revisiting the recent low of $90,000 remains slim. However, he added that this scenario was becoming increasingly unlikely.