What to know about investing in bitcoin after its price hit $100,000
Learn more about investing in bitcoin after its value soared to new heights this week, extending a post-election surge as Trump vows to boost cryptocurrencies.
Bitcoin’s value soared to new heights this week, extending a post-election surge as President-elect Donald Trump vows to boost cryptocurrencies. Wealth advisers and personal finance experts say they’re hearing from more people taking a fresh look at the market, but their advice remains: Dip a toe in, don’t dive headfirst.
“My POV on the risks and benefits of bitcoin hasn’t changed much, if at all,” said Samuel Deane, president and CEO of Deane Wealth Management, a financial advisory firm. “Though the incoming administration is pro-crypto right now, I’ve seen enough in politics to know that can change at any time.”
The price of bitcoin traded north of $100,000 late last week after clearing the six-figure threshold for the first time Wednesday, as investors bet on the next administration resetting the rules for an industry that has drawn scrutiny from regulators.
Trump, who swiftly took credit for the bitcoin milestone, named billionaire investor David Sacks a White House “crypto czar” and tapped crypto advocate Paul Atkins to lead the Securities and Exchange Commission. The president-elect wrote on his social media app that Atkins “recognizes that digital assets & other innovations are crucial to Making America Greater than Ever Before.”
But for ordinary investors, the same old tenets apply, Deane said. While he’s a long-term bitcoin investor himself, clients who’ve added crypto to their portfolios are “doing it on their own after we establish the proper guardrails,” he said.
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