'Early In The New Year'-Trump Issues 2026 'Boom' Prediction As Traders Ramp Up Bitcoin Price Bets
Bitcoin’s price has fallen sharply since October, wiping out all gains made in early 2025. The cryptocurrency now hovers near its $84,000 cost basis, leaving analysts divided over its next move. Meanwhile, U.S. President Donald Trump has made bold economic claims while hinting at major financial appointments ahead of 2026.
Bitcoin has dropped roughly 30% from its October peak of $126,000, erasing all progress since January 2025. Despite this slump, some analysts suggest the current level near $84,000 could signal a rebound—potentially pushing prices beyond $140,000. January 2026 is widely seen as a pivotal month for the cryptocurrency’s trajectory. Adding to the uncertainty, experts question whether Bitcoin’s traditional four-year price cycle still holds weight.
Spot Bitcoin exchange-traded funds (ETFs) have amassed 1.5 million Bitcoin since their launch in early 2024. These funds remain a key factor in market sentiment, though their impact on future prices remains unclear. On the political front, President Trump has promised an 'economic boom' in 2026, claiming he has already halted inflation and reduced prices. To mark the U.S. 250th anniversary, he plans to give service members a one-time $1,776 bonus. The president also teased the appointment of a new Federal Reserve chair who favours lower interest rates. Two names have emerged as frontrunners for the role: Kevin Hassett, officially named by Trump, and Christopher Waller, a pro-crypto Fed governor. Waller’s potential appointment has drawn particular attention from cryptocurrency markets, given his supportive stance on digital assets.
Bitcoin’s price remains volatile, with its next major test expected in early 2026. The outcome could hinge on broader economic policies, including the Federal Reserve’s direction under new leadership. Trump’s economic promises and Fed appointments may further shape market conditions in the coming year.
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