Trump Doubles Down on Crypto—Market Braces for Volatility

Former president reignites crypto debate with unverified claims—traders eye BTC price swings as political rhetoric heats up.

Subheader: The Tweet Heard ’Round Crypto Twitter

No policy details, no white paper—just classic Trumpian bombast shaking markets. ETH whales might profit, but retail traders? Probably left holding the bag...again.

Closing Thought: Nothing boosts trading volume like mixing politics and unbacked assertions—Wall Street’s algo traders are already licking their lips.

Crypto Competition: A Hidden Battleground

While trade agreements appear to be at the forefront, the real battle is taking place in another arena: the cryptocurrency realm. The strategic competition between the US and China has evolved beyond mere economics into a technological superiority struggle. Although the visible debates revolve around tariffs, behind the scenes, both nations seem to be bolstering their Bitcoin$104,134 reserves as a hedge against global financial collapse.

Currently, the US government holds over 198,000 BTC. China is estimated to follow closely behind, with approximately 190,000 BTC. However, questions remain about how these reserves were accumulated and why they are maintained. China focuses on controlling the system’s infrastructure. Chinese companies continue to dominate ASIC manufacturing, mining pools, and software aspects. Their strategy is to influence rules from within.

In contrast, the US adopts a more interventionist approach. A large portion of its reserve comes from cryptocurrencies confiscated in operations like Silk Road. These assets were not purchased from the market, but rather “seized” and now quietly held like gold, outside of strategic oversight.

Trade Truce Revitalizes Markets as Cryptos Soar

Just hours before Trump’s statement, the anticipated trade thaw between the US and China had unfolded. The US reduced tariffs from 145% to 30% on Chinese imports, while Beijing cut its tariffs from 125% to 10%. This development immediately boosted global risk appetite.

The market reaction was swift. Bitcoin surged past $100,000, while ethereum (ETH)$2,618 reclaimed the $2,500 level. Many other altcoins, notably Dogecoin$0.237266 (DOGE), also rose. Experts believe this activity was fueled not only by the trade peace but also by declining inflation expectations. Should this lead the Federal Reserve to reduce interest rates, cryptocurrencies could once again become investors’ favorites.

The parties’ agreement to continue dialogue reinforced short-term confidence in the markets. This is considered a particularly positive signal for risky assets such as cryptocurrencies.