Trump Stops Cryptocurrency Market Fall: What's in Store for Bitcoin?
Date: 2025-03-04 Author: Henry Casey Categories: CRYPTO PAYMENTS
Against the backdrop of Trump's statement on March 2, Bitcoin rose sharply in price, breaking the $90,000 mark. This happened after a difficult February, when the market showed one of the worst results in history. During January, immediately after Trump took office, cryptocurrencies jumped in price, but then began to lose ground.
According to Roman Nekrasov, co-founder of the ENCRY Foundation, the market's reaction to Trump's words is temporary. He believes that market participants were waiting for a positive signal, and the US president provided it. However, the reminder of plans to create a Bitcoin reserve is not new information - Trump spoke about this during the election campaign.
Nevertheless, the emergence of such a reserve can legitimize Bitcoin and other digital assets. Nekrasov also noted a record gap on the CME futures chart of $10,000, caused by a sharp jump in BTC. Usually, such gaps are closed by a price rollback, which makes investors expect Bitcoin to return to a level of about $85,000.
Tehnobit CEO Alexander Peresichan believes that without a reduction in the key rate and the emergence of new institutional players in the market, it is too early to count on sustainable growth. In his opinion, the very idea of a cryptocurrency reserve in the United States could become a catalyst, but its implementation requires lengthy approvals from regulators and Congress.
BitMEX founder Arthur Hayes also doubts the reality of creating such a fund in the near future, since this requires a clear regulatory framework, which does not yet exist. However, the very fact of Trump's statement temporarily supported the market and strengthened the position of cryptocurrencies.
Despite the market revival, the fear and greed index is still in the fear zone, having risen from 22 to 39 points. Investors realize that without further positive news, Bitcoin may return to $85,000.
Nekrasov believes that if the Trump administration does not continue to support the market with statements, BTC will begin to decline again. Talk of further growth will only be relevant once it reaches $100,000.
Persichan notes that the market is currently in a state of uncertainty: investors are clinging to any positive signals, but without real fundamental changes, a new bullish cycle should not be expected in the near future.
QCP Capital analysts emphasize that Bitcoin continues to trade near the lower limit of its range, and volatility remains high. The market continues to show increased interest in put options, which indicates uncertainty.
According to experts, the upcoming White House cryptocurrency summit on Friday could be a key moment. It is expected that details of the US reserve and possible market regulation will be disclosed there.
"It seems that Trump has already played all his cards, but he may surprise even more," said QCP Capital.
