TL;DR
Trump took office as president without mentioning Bitcoin in his inaugural address, which caused a negative reaction in the cryptocurrency market. Following the president’s lack of immediate support for the creation of a Strategic Bitcoin Reserve, the price of Bitcoin fell to $103,000. Despite state efforts to support Bitcoin, a lack of clarity and uncertainty from the federal government continues to impact the crypto market.
Donald Trump has officially become the second President of the United States. However, there was no mention of Bitcoin in his inaugural address, despite expectations that the announcement could be favorable to the crypto market. This caused a negative reaction in the market, which was expecting some support.
The impact was immediate. Hopes that Mr. Trump would support efforts related to the creation of a strategic Bitcoin reserve, which he pushed during the campaign, did not materialize, and many in the field doubt that the new administration will be able to support cryptocurrencies. I have doubts that the approach will be as favorable as expected. .
Bitcoin reaction
At the time of this writing, Bitcoin (BTC) is trading around $103,000, representing a decline of 1.91%. It has been highly volatile, dropping to nearly $100,000 before rebounding and fluctuating between that lower limit and its current value.
Many doubts and setbacks for the virtual currency market
Regarding other crypto markets, the trend is similarly unfavorable. Ethereum (ETH) is trading just above $3,300 after falling 4.22% in the past few hours. XRP (XRP) fell to $3.13, but the decline was much smaller, at just 0.7%.
Solana (SOL) took a big hit, dropping 10.5% and hovering near $243 per unit. BNB (BNB) is currently valued at $681, with a loss of 2.8%. As for Dogecoin (DOGE), it fell 8.2% to around $0.36 per unit. Cardano (ADA) is nearing $1 per unit after losing 6% of its value, and Chainlink (LINK) has fallen below $25, marking a 5.7% decline.
What’s next?
At the state level, several local governments, including Texas, Massachusetts, and Florida, are pursuing initiatives to create strategic Bitcoin reserves, with the aim of establishing themselves as leaders in cryptocurrency adoption. continues to do so. However, the lack of a clear and definitive message from the White House created uncertainty among investors.
Meanwhile, Trump-backed platform World Liberty Financial was also hit by turmoil. The company initially succeeded in selling the much-demanded WLFI token, but investors became more cautious due to the lack of clear support from the government.
The cryptocurrency market still lacks clear and consistent federal regulation. With Gary Gensler’s departure from the SEC, many expect the new administration to make decisions that will determine the direction of the sector. But without clear signs, the future of cryptocurrencies in the United States will remain a mystery until concrete announcements are made.
