Bitcoin Price Hits $110K: Trump Coin & BTC Reserve Impact Explained

Explore why Bitcoin price today hit a new all-time high (ATH) of $110,000 after rallying 8%. How Trump coin & BTC reserve affects this rally?
By Akash Girimath
January 20, 2025 | Updated January 20, 2025
Bitcoin Price Drops 12%: Will Trump’s Tax Relief Rumors Spark a BTC Rally?

Highlights

  • Bitcoin price today is up 8% and has hit a new all-time high of $110,000.
  • This devleopment comes after BTC tagged the $100K key support level.
  • Investors can expect a sudden crash if the $100K support barrier is breached to the downside.

After a swift recovery on January 19, Bitcoin created a bearish swing failure pattern on the daily chart, leading to a 6.33% crash. Regardless of the short-term correction, Bitcoin price today is up 3.17% and hit a new all-time high (ATH) of $110,000. This development comes ahead of Trump’s inauguration as the odds of a strategic Bitcoin reserve spike to 59% in just a few minutes.

Polymarket data shows that the odds of a strategic Bitcoin reserve approval have shot up from 37% to 59% in just a few minutes.

Bitcoin Price Hits New ATH of $110,000, As Odds of BTC Reserve Skyrocket
Will Trump create Bitcoin reserve in first 100 days?
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Breaking Down Impact of Trump Coin & Bitcoin Reserve on BTC Price

Bitcoin price today set up a new ATH of $110,000 and trades at $102,997.0 after shooting up 3.17%. This spike in buying pressure could be attributed to investors pulling out of the TRUMP coin and reinvesting profits into a more risk-averse asset like Bitcoin. Moreover, the long-term outlook of BTC remains bullish, with higher highs and higher lows on the daily and weekly charts, adding credence to the recent spike in buying pressure and a new ATH.

The second reason for this uptrend could be the President-elect Donald Trump’s inauguration, which is scheduled to take place today. Investors may have considered the recent launch of a meme coin on Solana as a show of Trump’s support for the crypto space.

Additionally, it wouldn’t be surprising that capital is rotating back into BTC in anticipation of a strategic Bitcoin reserve.

As a result of the recent uptrend, Ethereum (ETH) and Ripple (XRP) also registered 3.62% and 9.66% gains, respectively.

*bitcoin price updated as of 11 PM

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What’s Next For Bitcoin Price? Levels to Watch After New ATH

The weekend correction knocked Bitcoin price down to the value area high of $100K, where BTC found support and resulted in an 8% rally in the early Asian session. This sudden uptrend has caused Bitcoin to hit a new ATH of $110,000.

The next levels where investors can consider booking profits include the $161.8% Fibonacci extension at $120,362 and the 261.8% Fibonacci extension level at $139,683.

Bitcoin Price Today Hits New ATH of $110,000, Why is BTC Suddenly Up 8%?
BTC/USDT 4-hour chart

After the recent uptick, Bitcoin price prediction looks as optimistic as ever, with the expectations of new all-time highs forming around $120K and $130K, respectively, in the coming days. However, if BTC breaks below $100K, it could invalidate this bullish outlook and trigger a potential crash down to $90K.

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Akash Girimath
Senior Cryptocurrency Analyst & Market Strategist Engineer-turned-analyst Akash Girimath delivers data-driven insights on cryptocurrency markets, DeFi, and blockchain technology for platforms like AMBCrypto and FXStreet. Specializing in technical analysis, on-chain analytics, and risk management, he empowers institutional investors and retail traders to navigate market volatility and regulatory shifts. A hands-on strategist, Akash merges active crypto portfolio management with research on Web3, NFTs, and tokenomics. At AMBCrypto, he led cross-functional teams to redesign content frameworks, achieving record-breaking traffic growth through scalable editorial strategies. His analyses dissect market sentiment, investment strategies, and price predictions, blending macroeconomic trends with real-world trading expertise. Known for mentoring analysts and optimizing workflows for high-impact reporting, Akash’s work is cited across global crypto publications, reaching 500k+ monthly readers. Follow his insights on YouTube, X, and LinkedIn for cutting-edge perspectives on decentralized ecosystems and crypto innovation.
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