Bitcoin Surges Following Trump’s Strategic Reserve News
March 3 (Reuters) – Bitcoin rose sharply on Monday, gaining 20% from last week’s lows, after President Donald Trump revealed that a U.S. strategic reserve would include multiple cryptocurrencies.
Trump Discloses the Bitcoin Cryptos Included in the Reserve
Trump shared on Truth Social that his January executive order would lead to a reserve featuring Bitcoin, Ether, XRP, Solana, and Cardano, marking the first time these assets were publicly listed.
“Bitcoin and Ether will play a crucial role in this reserve,” he wrote on Sunday.
Market Responds with a Strong Rally
The announcement sent Bitcoin surging by over 20% from its November lows, reversing a decline that started in mid-January amid disappointment over Trump’s slow regulatory action. Bitcoin was last seen at $94,154, up from $78,273 on Friday.
Ether followed with a 20% increase over the weekend to $2,482, while XRP jumped 38%, Solana advanced 20%, and Cardano soared 78%.
Analysts Weigh in on the Market Impact
Chris Weston, research lead at Pepperstone, called the announcement a major turning point for the crypto market, which had been searching for positive momentum.
With the White House Crypto Summit scheduled for Friday, It could see further gains, though external market pressures remain a risk.
Bitcoin ’s Struggles Before the Announcement
February saw Bitcoin’s biggest monthly drop since June 2022, losing 17%, and the asset remains down more than a third from its early January high of $105,000.
Funding Concerns Could Influence Future Market Trends
Despite hopes that Trump’s presidency would lead to rapid crypto-friendly policies, little concrete action has been taken beyond pro-crypto appointments.
While the price boost is significant, IG market analyst Tony Sycamore warned of concerns regarding funding sources, with possibilities including taxpayer money or assets confiscated in legal proceedings.
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