Today is December 5, 2024. On December 1st, I posted that Bitcoin would break the legendary $100,000 barrier in early December, and this morning it successfully reached this milestone. As a loyal supporter of Bitcoin, I witnessed Bitcoin surpass $10,000 and I am honored to witness it breaking $100,000 as well. In the future, when Bitcoin eventually breaks $1 million or $10 million, I will continue to witness it. Now, to get to the main topic, since Bitcoin dropped to $94,580 in the evening and rose to $104,000 in the morning in just 10 hours, how could such a significant change occur? Last night, all three major U.S. stock indices opened higher, with the Nasdaq and S&P 500 reaching new highs even without looking. During trading, Bitcoin briefly dipped to $94,580 due to hawkish comments from Federal Reserve officials suggesting that there may not be a rate cut in December. However, Federal Reserve Chair Powell's remarks directly reversed Bitcoin's downward trend. Powell not only indicated a willingness to cooperate with the future new government, similar to what a future Trump administration might do, but this also implies that the Republican Party's traditionally low-interest environment is surely coming, especially since Trump, as a businessman president, has the highest demand for a low-interest business environment compared to any previous president. Thus, the hawkish comments fell apart. But this positive news alone was not enough to push Bitcoin past $100,000; the key was Powell's statement. When a journalist asked Powell about his view on Bitcoin, he stated that Bitcoin is an investment comparable to gold. While it may not carry much weight coming from others, this is the Federal Reserve Chair! His position and stance determine his influence. When he compares Bitcoin to gold, any skeptics of Bitcoin, whether individuals or institutions, find their doubts undermined. Bitcoin quickly surged to an unprecedented six-figure dollar amount within a few hours. Powell's statement makes me believe that the probability of Microsoft considering Bitcoin as a strategic reserve in the shareholders' meeting five days later is now very high. As companies like Apple, which holds large amounts of cash, follow suit, Bitcoin's future is immeasurable. A joke is spreading quickly: Bitcoin has returned to starting with 1, so everyone must have made a fortune, right?
