The announcement by President Donald Trump to establish a strategic reserve of cryptocurrencies in the United States has shaken the cryptocurrency market, leading to a significant surge in the prices of Cardano (ADA) and XRP. While cryptocurrencies continue to gain ground, many traders remain cautious, awaiting more concrete details.
Trump’s announcement and the positive reaction of the crypto ADA and XRP
President Trump has recently announced the inclusion of XRP, Solana (SOL) and ADA in a national strategic reserve. This has led to a 60% increase for ADA and 25% for XRP. However, the euphoria is accompanied by caution among traders, who are waiting for further details on the legality and feasibility of the project.
The Impact of Trump’s statements
The statements by Trump had an immediate effect on the markets. Bitcoin recorded a 6.5% increase, surpassing 93,000 dollars, while the broader market, monitored by the CoinDesk 20 (CD20), grew by 7%. Other cryptocurrencies like Chainlink (LINK) and Uniswap (UNI) also saw increases, thanks to their association with World Liberty Financial, backed by the Trump family.
Uncertainty among traders
Despite the initial optimism, many traders remain cautious. Kevin Guo, director of HashKey Research, emphasized that there could be corrections in the short term, as investors assess the announcement of the cryptocurrency reserve and its legal feasibility. Additionally, the Chairman of the Federal Reserve, Jerome Powell, stated that the U.S. central bank cannot hold Bitcoin reserves, raising further questions about Trump’s proposal.
Future prospects and key events
Trump plans to host the first Crypto Summit at the White House on March 7, where he is expected to announce further plans to support crypto regulations and businesses in the United States. This event could provide further insights into the intentions of the Trump administration and the future of cryptocurrencies in the country.
ETFs and market sentiment
Chris Yu, CEO di SignalPlus, noted that investors will monitor the flows towards US ETF products after the recent record outflows. An increase in flows could indicate a bottom and a possible continuation of the bull market.
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Final Thoughts
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Trump’s announcement has undoubtedly triggered a wave of optimism in the cryptocurrency market, but uncertainties remain. Traders are closely watching future developments and the potential implications of Trump’s policies. Will the crypto market be able to maintain this positive momentum, or will we see a correction while waiting for more concrete details? The coming weeks will be crucial in determining the direction of the cryptocurrency market.
