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#Bitcoin Strategic Reserve#
Trump's Bitcoin Strategic Reserve: What Will Be Its Impact on the Crypto Market?
Last Sunday, allegations that former US President Donald Trump expressed the idea of creating a strategic reserve for Bitcoin and some altcoins caused a great stir in the cryptocurrency market. With this news, the price of Bitcoin rapidly increased, and the market value increased by 300 billion dollars in one day. So, is such a strategy really possible? And what would be its effects on the price of Bitcoin?
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Trump and Bitcoin: A Strategic Move?
It is known that Trump has been distant to cryptocurrencies before. During his presidency, especially in 2019, he criticized Bitcoin and pressured regulatory institutions to take stricter measures in the crypto market. However, recently, as he entered the election process, he started to give warmer messages to crypto investors.
The idea of creating a strategic Bitcoin reserve could mean that the US government sees Bitcoin as a kind of "digital gold". If such a step is taken:
The institutional and governmental acceptance of Bitcoin may accelerate.
The US can diversify its non-dollar reserves.
Other countries may also make similar reserve plans, global demand may increase.
However, the realism of this move is debatable. Because states generally steer clear of assets with high volatility.
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How Did the Bitcoin and Altcoin Market Get Affected?
Following these allegations, the price of Bitcoin rose by over 10%, approaching the $90,000 level. Significant increases were also seen in Ethereum, Solana, and other altcoins. We can say that the market has priced in this news.
However, in the long run:
If Trump or the US government really creates a Bitcoin reserve, the BTC price could rise to much higher levels.
The absence or denial of such a reserve could cause a decline in the market.
Therefore, it is important not to forget that price movements are speculative and that making large trades without making definite decisions can be risky.
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Result: Realistic Plan or Election Propaganda?
Trump's statements have caused great excitement in the crypto market, but it is uncertain whether these words will actually turn into a policy. It would be a revolutionary development for the US government to create a Bitcoin reserve, but serious regulations and political decisions are needed for this to happen.
For now, the impact of this news seems to have triggered a short-term bull run in the market. However, it is important for investors to be cautious and closely monitor developments. Because rapid price movements can occur due to political influence.