Cryptocurrency prices surged after former President Donald Trump announced that Bitcoin, Ether, and several other digital assets would be included in a new US strategic reserve This unexpected move signals a significant shift in the government’s stance on crypto reinforcing its role in the financial system
In a post on Truth Social Trump revealed that his previously issued executive order on digital assets would establish a reserve featuring Bitcoin Ether XRP Solana and Cardano While the order itself was public knowledge the inclusion of these specific cryptocurrencies was undisclosed until now Trump emphasized that Bitcoin and Ether would serve as the foundation of this reserve marking a strong endorsement for the two largest cryptocurrencies The announcement triggered an immediate market rally sending prices soaring
The market reacted swiftly Bitcoin jumped 8 percent to 93007 dollars reversing weeks of losses and rebounding from its lowest level since November Ether followed climbing 97 percent to 2438 dollars XRP saw an even more dramatic increase surging 245 percent to 280 dollars Solana spiked 187 percent to 17027 dollars Cardano recorded a massive 588 percent gain reaching 107 dollars while Dogecoin gained 107 percent to trade at 022 dollars The broader crypto market gained nearly 8 percent overall signaling renewed investor confidence
Trump’s support for Bitcoin as a strategic reserve asset builds on his earlier pledge to retain all Bitcoin held by the US government rather than selling off confiscated crypto as previous administrations had done Currently the government holds an estimated 200000 BTC worth approximately 19 billion dollars mostly seized through law enforcement operations Instead of liquidating these holdings Trump’s strategy integrates them into a long term national crypto reserve
When he took office in January 2025 Trump signed an executive order directing officials to explore the feasibility of a national digital asset stockpile Administration sources suggest the goal is to leverage digital assets to help manage the country’s staggering 36 trillion dollar national debt while positioning the US as a global leader in crypto adoption
The announcement has sparked debate among financial analysts policymakers and crypto industry experts Eric Trump executive vice president of the Trump Organization praised the move on social media calling it a genius decision Traditional finance better catch up or it will quickly become extinct The world no longer runs on a Monday to Friday nine to five schedule he posted
However some experts remain skeptical Bitwise’s Jeff Park warned that including multiple cryptocurrencies rather than focusing solely on Bitcoin could dilute the reserve’s effectiveness and increase volatility Some analysts argue that holding such a large amount of digital assets under government control raises regulatory and geopolitical risks particularly regarding how future administrations might handle the reserve
With Trump’s crypto policy becoming clearer market volatility is likely to continue Investors will be closely watching how regulators respond particularly in areas like taxation compliance and the broader integration of digital assets into economic policies While crypto markets are celebrating for now the long term impact will depend on the government’s next moves and whether this truly marks a historic shift in the US approach to digital assets
