The US President has officially made the announcement of creating a strategic crypto reserve. The announcement was made by David Sacks – White House-appointed ‘Crypto Czar’ – on X, earlier today. It stated that President Trump has signed an executive order to create a Strategic Bitcoin Reserve.
While the order does not give the US the green light to purchase Bitcoin, it does give the Treasury the approval to develop “budget-neutral strategies for acquiring additional bitcoin”. Also, the department revealed the U.S Digital Asset Stockpile, which would consist of major altcoins such as SOL, ADA, XRP and ETH etc.
Together, these developments pose fundamental questions about Bitcoin’s future: How will government-controlled BTC affect the market? And is the crypto industry abandoning its core principles in pursuit of political favor? The White House Crypto Summit was hyped as a defining moment for the industry, but it left many disappointed. As BTC fall straightway from $90k to $85k, erasing all the pre-meeting gains.
The event has deepened divisions in the crypto space. Some see Trump as the industry’s best chance at regulatory relief, while others worry about the political capture of a movement built on decentralization. Although the industry seems it as a very positive step towards global adoption and proper regulation for fair market practices.
For now, Bitcoin is holding near $86K. A resurgence in buying pressure could push BTC back towards $88k. However, if the current trend continues, a drop to $84k will be on the table. The government’s BTC holdings add an extra layer of uncertainty – Should another round of liquidations occur, volatility could spike again.
As of now, at the time of writing this article, BTC is being trade around $86,300 and has seen a 5% drop in its price over 24 hours but 2% gain over the past week and stands with a market capitalization of $1.71 Trillion.