- Bitcoin Price surged above $105,000 ahead of Donald Trump‘s inauguration, following a recovery from sub-$90,000 levels.
- ETF inflows showed strong momentum with $755 million entering funds on Wednesday alone.
- Bitcoin mining difficulty reached a record high of 110.45 trillion.
- Department of Justice recommends returning recovered Bitfinex hack funds to the exchange.
- Coinbase reintroduces Bitcoin-backed loans through Morpho protocol on Base Network.
Bitcoin’s value climbed past $105,000, marking a substantial recovery from its recent two-month low below $90,000. The surge coincides with upcoming policy changes and increased institutional investment through ETF vehicles.
Market Response to Economic Indicators
The cryptocurrency market responded positively to inflation data showing a 2.9% increase in the Consumer Price Index through December. This economic indicator sparked speculation about potential Federal Reserve rate cuts, historically a positive catalyst for Bitcoin prices.
The asset’s movement demonstrates the growing connection between traditional financial metrics and cryptocurrency markets. ETF flows data from Farside Investors showed significant institutional interest, with Wednesday recording $755 million in inflows, followed by $626 million on Thursday.
Technical Milestones
The Bitcoin network reached a technical milestone as mining difficulty hit 110.45 trillion. This metric measures how challenging it is for miners to add new blocks to the blockchain, with higher numbers indicating increased network security and mining competition.
SEC Chair Gary Gensler made notable comments comparing Bitcoin’s potential future role to Gold‘s historical position as a commodity, distinguishing it from other cryptocurrencies he views as unregulated securities.
Regulatory Developments
In a significant legal development, the Department of Justice recommended returning approximately 90,000 Bitcoin from the 2016 Bitfinex hack to the exchange. This decision affects the resolution of the case involving Ilya Lichtenstein and Heather Morgan, who faced charges related to the theft of 120,000 Bitcoin.
Coinbase expanded its services by reintroducing Bitcoin-backed loans, allowing users to borrow up to $100,000 in USDC using their Bitcoin as collateral. The service operates through Morpho, a lending protocol on the Base network, representing a return to cryptocurrency-backed lending after a two-year hiatus.
✅ Follow BITNEWSBOT on Facebook, LinkedIn, X.com, and Google News for instant updates.
Consider a small donation to support our journalism
Previous Articles:
- Trump’s 2016 Campaign Was Silent on Crypto Despite Bitcoin’s 4,000% Rally During Presidency
- Trump Meme Coin Launch Shakes Up Crypto Market, Sending Dogecoin and Others Tumbling
- Crypto Platform Founder and LA Sheriff’s Deputy Plead Guilty in Extortion Scheme
- Trump’s New Memecoin Skyrockets to $20 Billion Market Cap, Shaking Bitcoin Markets
- Solana-Based ‘TRUMP’ Token Surges to $9B Market Cap in Trading Debut
