📈 Trump, the 'crypto-president': a catalyst for the market
Since his re-election in 2024, Donald Trump has positioned himself as a strong advocate for cryptocurrencies. He signed Executive Order 14178, aimed at strengthening American leadership in digital financial technologies, while banning the creation of a central bank digital currency (CBDC) [1]. This initiative has been positively received by many industry players.
Additionally, Trump announced the creation of a strategic reserve of cryptocurrencies, including Bitcoin, Ethereum, Solana, XRP, and Cardano [2]. This announcement led to a significant increase in the prices of these assets, with Bitcoin briefly reaching $95,000.
📉 Persistent volatility: strained markets
Despite these announcements, the market remains volatile. Bitcoin recently fell below $80,000, disappointing investors who were expecting more aggressive purchasing policies from the government [3].
Moreover, trade tensions, particularly the threats of tariffs imposed by Trump, have led to a decrease in cryptocurrency prices, with Bitcoin losing up to 7% [4].
🏦 Regulation and companies: a climate of uncertainty
Paul S. Atkins' appointment as head of the SEC, known for his pro-crypto stance, was well received by the sector [5]. However, the lack of a clear regulatory framework continues to raise concerns among companies and investors.
Companies like Coinbase and MicroStrategy have seen their stocks fluctuate based on political announcements, reflecting the persistent uncertainty in the market.
🔮 Outlook: caution and diversification
Traders and companies must navigate a complex environment, where political decisions have a direct impact on the cryptocurrency market. Caution is advised, with particular attention to global regulatory and economic developments.
It is recommended to diversify portfolios, stay informed about political and economic developments, and prepare for continued market volatility.
In summary, the cryptocurrency market is currently influenced by major political factors, particularly Donald Trump's initiatives. However, persistent volatility and regulatory uncertainty require a cautious approach from traders and companies.
