Bitcoin experienced a slight decline on Friday as the recent recovery in the cryptocurrency markets lost momentum, amid attention on distributions from the defunct exchange Mt Gox and the regulatory landscape in the U.S., according to media reports.
The world’s largest cryptocurrency had earlier rebounded strongly in the week, driven by optimism that a potential return of Donald Trump to the presidency could lead to more favorable regulations for cryptocurrencies. Trump had signaled support for crypto-friendly policies in his reelection campaign.
This optimism helped alleviate concerns over selling pressure from the distribution of tokens by Mt Gox, which has started moving billions of dollars’ worth of Bitcoin to repay creditors following a hack in 2014.
Bitcoin declined by 0.9%, reaching $64,166.3 by 02:03 ET (06:03 GMT) on Friday. Despite this dip, it had gained 8.5% over the past week.
The cryptocurrency rebounded from its lowest levels in four months earlier in the week, coinciding with increased popularity for Trump following an attempted assassination last week.
Trump has maintained a generally pro-crypto stance during recent campaigning, advocating for the U.S. to lead in the development of cryptocurrency. His campaign also accepts donations in cryptocurrency.
Later this month, Trump is scheduled to speak at the Bitcoin Conference in Nashville, prompting speculation on social media that he might announce plans to declare Bitcoin as a “strategic reserve asset.” However, credible sources for this speculation were not identified.
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