Bitcoin rises with investor interest amid volatile trading

Bitcoin, the world’s largest cryptocurrency, rose in volatile trading on Tuesday, after falling from a new record high reached yesterday, Monday, amid investor disappointment due to US President Donald Trump not revealing policies to promote cryptocurrencies on his first day in office.

Price movements

Bitcoin hit a record high of $109,071 yesterday when Trump was sworn in, but the cryptocurrency trimmed its gains and traded lower in European and Asian trading hours after the cryptocurrency did not appear in Trump’s wave of executive orders on his first day as President of the United States.

Bitcoin later increased 2.40 percent to $105,009.35 in US trading hours, while Ethereum, the second largest cryptocurrency, rose 0.84 percent to $3,308.53 as the market began to shake off some feelings of disappointment.

But some analysts cautioned that volatility is expected until the Trump administration begins to announce concrete policies that have been long-awaited by the cryptocurrency industry.

“I think Bitcoin will end up falling as long as there is no news from Trump about digital assets,” said Jeffrey Kendrick, head of digital assets research at Standard Chartered Bank. “It seems that its return to below $100,000 is inevitable.”

The CoinMarketCap platform, which tracks cryptocurrency prices, reported that the “meme coin” bearing the sign ($Trump), which it launched on Friday evening, fell 20.5 percent to $39.68 today, making its market value about $8 billion. Its price has fallen by almost half since its peak at around $75.

A separate meme coin launched by First Lady Melania Trump fell by 44.4 percent to $4.28, bringing its market value to about $823 million.