What Donald Trump's Presidency Means for Crypto

Trump is Back In Power 

The anticipation of Donald Trump’s return to the White House has fuelled optimism within the cryptocurrency sector. Bitcoin surged to a record high, surpassing $90,000 before stabilising just below that mark. This reflects growing confidence in the potential for favourable regulatory changes and the idea of a strategic bitcoin reserve.

Could Crypto Regulation See Clarity?

‍Regulatory uncertainty has long been a sticking point for the crypto industry, with the Securities and Exchange Commission (SEC) facing criticism for its enforcement tactics. Key cases against major crypto exchanges, including Binance, Coinbase, and Kraken, have sparked concerns about overreach.

In a landmark speech at the Bitcoin 2024 conference, Trump vowed to end what he described as the current administration's “anti-crypto stance.” He also committed to replacing SEC chair Gary Gensler on his first day in office. During the same event, he introduced the concept of a national bitcoin reserve.

The 2024 elections have also seen the emergence of more pro-crypto lawmakers in Congress. Analysts believe this shift could accelerate the passage of legislation around stablecoins and clearer guidelines on whether specific digital assets qualify as securities. The industry is hopeful this could pave the way for innovative products, such as new exchange-traded funds (ETFs), including one proposed for XRP by asset manager Bitwise.

What’s Next for Bitcoin?‍

Trump’s proposal to develop a strategic bitcoin reserve, if implemented, could reshape how other nations view cryptocurrency. While this initiative may not involve substantial new purchases of bitcoin, its symbolic value could influence international perspectives on digital assets.

Trump has also emphasised the importance of bolstering the domestic bitcoin mining sector, envisioning the U.S. as a global hub for mining operations. This has already boosted stocks of mining companies such as Marathon Digital, Riot Platforms, Hut8, and CleanSpark.

Market leaders, like Bitwise Chief Investment Officer Matt Hougan, remain bullish, predicting bitcoin could surpass $100,000 by year-end. However, Hougan urged caution, highlighting the need for investors to focus on quality and manage risks effectively.

“Not all crypto projects are created equal, and success will depend on their individual merits,” Hougan noted. A fair regulatory framework, he added, would allow the market to distinguish viable ventures from less promising ones, urging disciplined investment strategies.

In short, the crypto degens love Trump and with him so closely tied to Elon and this whole new DOGE department they’ve built, DOGE has ripped massively. 

‍

The memecoins and political coins will continue to rip, you just need to make sure you have your bags and bets placed.

‍