#USCryptoReserve

Trump’s crypto reserve likely to be mostly Bitcoin, bigger than expected: Bitwise

Bitwise investment chief Matt Hougan says Trump’s crypto reserve announcement should be seen as bullish and that the market is “misreading things.”

Despite including several large-market cap altcoins, US President Donald Trump’s planned crypto reserve will eventually be made up almost “entirely of Bitcoin,” says Bitwise chief investment officer Matt Hougan.

“Market participants have soured on the announcement because the proposed reserve holds more than Bitcoin,” Hougan explained in a March 5 market note. “The inclusion of small-cap assets in the announcement unnecessarily complicated matters.”

On March 2, Trump initially said the stash would include Solana 

SOL

$149.81

, XRP 

XRP

$2.58

 and Cardano 

ADA

$0.9396

, later adding that Bitcoin 

BTC

$90,780

 and Ether 

ETH

$2,282

 would be “the heart” of the reserve. Hougan said: 

“After the dust settles, I suspect the final reserve will be nearly entirely Bitcoin, and it will be larger than people think.”

Bitcoin’s price initially jumped on the news of its inclusion in the slated reserve, but it later sunk to below $83,000 and has only recovered to above $90,000 over the last day in part due to Trump delaying auto parts tariffs on Canada and Mexico.

Trump’s move away from a Bitcoin-only reserve has concerned some crypto commentators who said Bitcoin is the only cryptocurrency suited for inclusion in the reserve, with Coinbase CEO Brian Armstrong arguing it’s “a successor to gold.”