Trump’s Bitcoin move backfires?

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Market-moving headlines 🔥

Crypto in flux: Trump’s Bitcoin reserve, market shakeups & the end of the memecoin frenzy?

On March 6 President Trump signed an executive order to establish a Strategic Bitcoin Reserve and Digital Asset Stockpile for the United States.

This move was subsequent to the social media post announcement by the President on Sunday, 2nd March which triggered a price rally in the market and BTC and ETH surged by almost 10% along with some altcoins like SOL, ADA and XRP all that were to be included in the reserve according to the President.

Following the announcement of the executive order, the market witnessed a strange phenomenon– the market saw a sharp decline (and it continues to do so).

When the White House A.I and Crypto Czar, David Sacks took to Elon’s X to make the expected BULLISH announcement, it was not something that the Crypto community anticipated.

It will not cost taxpayers a dime– Which means the US Government won’t allocate specific budget to purchase Bitcoin– something the market was quick to understand.

Sacks emphasised further that Secretaries of Treasury and Commerce are authorized to develop budget-neutral strategies for acquiring additional Bitcoin.

This confirmed the market that the US government won’t spend a dime from the budget to buy Bitcoin– SODL.

A rapid sell off and  a sharp drop in the Crypto market with BTC reaching $85k levels and altcoins down by 10%.

Was this the Bitcoin Reserve that was promised– many wondered?

According to the AI and Crypto Czar– yes.

What does this mean for the industry?

According to Arkham data, the US government currently has 198,109 BTC in its wallet worth approximately $17 billion, which is its largest holding followed by 56,000 ETH worth around $122 Million.

But here’s a twist–  Galaxy Digital Research President Alex Thorn shared on his X account that the US government holds around 198,000 BTC, but only up to 88,000 BTC (43% of its total holdings) can be used as reserves.

He noted that the remaining 112,000 BTC is set to be returned to the Bitfinex Exchange.

To recall, Bitfinex suffered a hack in 2016, losing 120,000 BTC, some of which were later seized by the US government

If this turns out to be the case and the government returns the Bitcoin, then the US government would hold less Bitcoin than China, who according to data has 194,000 BTC.

So something to consider– Would President Trump want that?

According to experts there are some budget neutral ways to acquire Bitcoin the government could rely on like swapping gold for Bitcoin, mining BTC using underutilized sources or even accepting fines or tax payments in BTC.

One more thing to be noted is that the US government does not plan to sell Bitcoin, according to the official factsheet.

For the industry it is a bit of a paradoxical situation– everyone got the reserve they were hoping for– but not quite it.

If the US declared itself as a purchaser of BTC using direct funds, it would set off a global ripple effect with other countries compelled to follow, and would skyrocket the price due to simple economics of supply and demand, which determine the price of BTC at any moment.

But this Reserve is doing something else– it is just validating the Bitcoin already held by the US government or simply renaming it. The government has currently shown no interest in buying any other cryptocurrencies and would stick to the ones already confiscated by them.

But is it all bad?

Many in the industry interpret this move as a starting point of a very long bureaucratic process and welcome it with rejoice.

The Trump administration has taken the first step and officially recognised BTC and some other cryptos as a part of a government reserve, which if you consider what was happening 2 years ago when the SEC was cracking down on Crypto–is indeed a bold step.

This is just the beginning of the crypto era, a movement that was started by Cypherphunks, and is now a regulation in the White House.

We’ve come a long way, but there’s still much more ahead. When it comes to authentic, unbiased, and up-to-the-minute crypto news—we’ve got you covered.

Stay tuned.

Market watch: Trends, signals & what’s next  🔥

Here, we break down the key market movements, technical trends, and macro factors shaping crypto today. Whether it’s on-chain signals, whale movements, or broader economic shifts, we filter out the noise and bring you what really matters.

Has the “Memecoins Mania” ended?

The meme coin market is taking a hit. According to CoinGecko, the Meme category's market cap has fallen 32% since its peak on February 3, with trading volumes dropping a staggering 72%.

Retail interest is also drying up—search traffic for "memecoins" has declined 77% from its all-time high, signaling a shift in sentiment.

What’s driving the downturn? Analysts point to an increase in scams and rug pulls, shaking investor confidence. Additionally, memecoins are known for their seasonality, often experiencing cycles of hype followed by sharp corrections.

According to data Memecoin picks by the infamous trader Murad have the poorest performance, losing 74% of their value.

Makes you wonder– Should you trust celebrities and influencers with your hard earned money?

Cryptopolitan has compiled a list of celebrity memecoins and where are they now, check it out here and follow @CPOfficail for more such insights.

In the spotlight 🔥

Could the Strategic reserve be the quiet rise of the ‘Network State’ dollar?