Bitcoin Steadies Below $100K Amid Policy Speculations

Bitcoin's Rangebound Performance

Bitcoin recently steadied in a trading range between $90,000 and $100,000, following a series of record highs. Although the cryptocurrency remains near its peak of over $99,000, optimism has tempered amid anticipation of U.S. policy cues. The recent rally was largely driven by expectations of a crypto-friendly stance under Donald Trump's presidency.

Profit-Taking and Policy Clarity

The current rangebound performance is partly due to profit-taking at record highs. Traders are seeking clarity on potential policies under Trump, who has expressed intentions to transform the U.S. into a global crypto hub. His appointments for Treasury Secretary and Secretary of Commerce have pro-crypto perspectives, and there is speculation that a pro-crypto candidate may lead the Securities and Exchange Commission (SEC).

XRP's Surge on SEC Speculation

XRP emerged as a standout performer, soaring nearly 33% to become the third-largest cryptocurrency by market capitalization, surpassing Tether. This surge is fueled by speculation that the SEC might drop its lawsuit against Ripple. The anticipated leadership change at the SEC, with Trump taking office, includes reports of potential appointments supportive of digital assets.

Broader Crypto Market Trends

On Monday, broader cryptocurrency markets exhibited rangebound behavior, with traders keenly observing policy developments. The risk appetite was affected by Trump's threats of tariffs on BRICS nations. Ethereum, the second-largest cryptocurrency, fell slightly, while Solana and Cardano experienced moderate losses. In contrast, Polygon saw gains, and Dogecoin rose modestly among meme tokens.

Cryptocurrency markets are closely watching potential regulatory shifts, with significant attention on how these changes may impact future valuations and market dynamics.