Feb 4, 2025
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Bitcoin Reclaims $100,000 Amid Trump’s Sovereign Wealth Fund Announcement
Bitcoin reclaimed the $100,000 mark, rising 3% in 24 hours and reaching a daily high of $102,000. However, it faced resistance at this level. This price increase coincided with an executive order from US President Donald Trump to create a sovereign wealth fund.
Key details include:
- The executive order did not specifically mention Bitcoin or cryptocurrencies, but potential inclusion in the fund could allow for BTC purchases.
- The US Treasury and Commerce Departments will oversee the fund.
- Treasury Secretary Scott Bessent has shown some interest in digital assets; Commerce Secretary nominee Howard Lutnick is a known supporter of Bitcoin.
- Lutnick leads Cantor Fitzgerald, the custodian for Tether's significant government paper holdings.
Bitcoin Price Analysis
The MVRV Momentum indicator indicates Bitcoin has been in negative territory since the start of the year, reflecting market weakness. Despite a recent 4.31% decline, BTC is up 129.95% over the last year.
- The Relative Strength Index (RSI) for Bitcoin stands at 45.72, indicating bearish control and potential oversold conditions.
- The Moving Average Convergence/Divergence (MACD) shows bearish signals as well, with the MACD line above the signal line and increasing distance between them, suggesting heightened selling pressure.
Photo: TradingView