Bitcoin Sees a Strong Rebound After Trump’s Crypto Reserve Plan
March 3 (Reuters) – Bitcoin experienced a significant boost on Monday, rising 20% from last week’s lows after U.S. President Donald Trump confirmed that several cryptocurrencies, including Bitcoin, will be part of a new U.S. strategic reserve.
Trump Confirms Bitcoin Crypto Assets in Strategic Reserve
Trump revealed on Truth Social that his executive order from January would establish a reserve featuring Bitcoin, Ether, XRP, Solana, and Cardano, marking the first time these names were officially disclosed.
“Bitcoin and Ether will be the core of this reserve,” Trump stated on Sunday.
Bitcoin Crypto Market Reacts with a Sharp Surge
This announcement triggered a surge of over 20% in Bitcoin’s value from its November lows, reversing the negative sentiment that had persisted since mid-January due to disappointment over Trump’s slow regulatory changes. Bitcoin last traded at $94,154, up from Friday’s $78,273.
Ether also saw a 20% increase over the weekend, reaching $2,482, while XRP jumped 38%, Solana 20%, and Cardano soared 78%.
Market Experts Weigh in on the Impact
Chris Weston, head of research at Pepperstone, described Trump’s announcement as a major bullish signal for the crypto market, which has been searching for a catalyst to break out of its bearish trend.
With the White House Crypto Summit scheduled for Friday, further gains are possible, though broader market weaknesses may still influence sentiment.
Market Uncertainty Still Looms
Bitcoin dropped over 17% in February, marking its largest monthly decline since June 2022, and has fallen more than a third from its January peak of $105,000.
Optimism surrounding Trump’s election had initially fueled hopes of pro-crypto policies, but beyond appointing crypto-friendly officials, there has been little concrete action.
Questions Remain Over Reserve Funding
While the announcement has driven prices higher, IG market analyst Tony Sycamore cautioned that concerns remain over how the reserve will be funded—either through taxpayer money or assets seized from law enforcement actions.
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