- BitMEX’s Arthur Hayes said that Trump’s crypto reserve promises are “just words.”
- Meme token WIF soared 17.22% while L1 tokens SOL and ADA shot up 11.24% and 44%.
- Analyst Jason Pizzino noted that Bitcoin was already on a bullish path prior to Trump’s promises.
As and when US President Donald Trump gave the go-ahead to the United States Crypto Reserve, that includes major US-made altcoins Solana (SOL), XRP, and Cardano (ADA), in addition to Bitcoin (BTC) and Ether (ETH), cryptocurrencies as a whole turned bullish, with the altcoin sector especially reclaiming a valuation of $873 billion.
According to CoinMarketCap data, Solana (SOL) jumped 11.24%, XRP shot up 14%, while Cardano (ADA) ranked among the biggest gainers, soaring 43.96% in the past 24 hours.
Meme coins Dogecoin (DOGE) rose 5.25%, dogwifhat (WIF) climbed 17.22%, and SPX6900 jumped 15.93%. This broad surge suggests that traders are moving into altcoins, hinting at the early phases of a potential altseason.
While the market seems excited, a few analysts and industry figures stayed cautious. Crypto analyst Ali Martinez pointed out that even if Trump signs an executive order, it will not result in an immediate US Crypto Reserve. He listed several obstacles like Congress drafting and passing legislation, finding funding methods, and setting compliance rules by authorities.
Skepticism from Industry Leaders
Additionally, crypto exchange BitMEX co-founder Arthur Hayes dismissed Trump’s announcement as mere words, stating,
“Nothing new here. Just words. Let me know when they get Congressional approval to borrow money or revalue the gold price higher. Without that, they have no money to buy bitcoin and shitcoins.”
Win-Win Take
On the other hand, crypto participant Hizzim noted that while the government is unlikely to print money to buy crypto, its strategic interest in these assets could still shape favorable regulations for US-based crypto firms, ultimately benefiting the market. They described the situation as “win-win.”
Renowned analyst Jason Pizzino argued that Bitcoin’s recent price action was already setting the stage for a bullish move before the news about Trump’s crypto reserve came out. Using key support and resistance levels, Pizzino noted that BTC had already rebounded from critical areas.
Additionally, the altcoin market cap chart reveals that the On Balance Volume (OBV) indicator is trending upward, suggesting stronger buying pressure. This development implies that both institutional and retail investors are accumulating altcoins in anticipation of a rally.
The Moving Average Convergence Divergence (MACD) indicates a bullish crossover as the blue MACD line crossed above the orange signal line. The histogram has also turned bullish with green bars, hinting at growing volumes on the positive side.
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