Crypto Market Surges Following Trump's Strategic Reserve Announcement
- Chiniara
- Mar 3
- 2 min read
In a groundbreaking move that has sent shockwaves through the cryptocurrency market, U.S. President Donald Trump announced on Sunday the creation of a "Crypto Strategic Reserve," incorporating major digital assets such as Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA). This unprecedented decision led to a significant surge in cryptocurrency prices, reflecting renewed investor confidence and interest.
The announcement was made via Trump's social media platform, Truth Social, where he stated that his executive order on digital assets would establish a reserve including XRP, SOL, and ADA. He later added that BTC and ETH would also be central components of this reserve, expressing his admiration for both cryptocurrencies.
Following the announcement, the cryptocurrency market experienced notable gains:
Bitcoin (BTC): The largest cryptocurrency by market capitalization surged over 10%, surpassing the $94,000 mark.
Ethereum (ETH): The second-largest cryptocurrency saw an increase of approximately 13%, trading above $2,500.
XRP: Associated with Ripple Labs, XRP's price jumped 35% to $2.97.
Solana (SOL): This cryptocurrency experienced a 24% rise, reaching $178.
Cardano (ADA): ADA saw a substantial increase of 74%, trading at $1.15.
This initiative aligns with President Trump's campaign promise to transform the United States into the "crypto capital of the world." The establishment of the Crypto Strategic Reserve is seen as a significant step toward integrating digital assets into the national financial framework.
The Securities and Exchange Commission (SEC) under the Trump administration has adopted a more accommodating stance toward cryptocurrencies, ceasing several investigations and lawsuits against crypto firms for alleged securities violations. Notably, the SEC had previously deemed Ripple's XRP an unregistered security when sold to institutional investors, a decision currently under appeal.
In addition to the major cryptocurrencies, meme coins like Dogecoin (DOGE) and the Trump-associated $TRUMP coin also experienced significant gains. Dogecoin's price increased by 16% to $0.24, influenced by Elon Musk's long-standing support. The $TRUMP meme coin surged 28% to $16.84, reflecting the market's reaction to the president's endorsement.
The broader cryptocurrency market capitalization grew by approximately 10%, adding over $300 billion in value following the announcement.
This development underscores the growing acceptance and institutionalization of digital assets within the U.S. financial system, marking a pivotal moment in the evolution of cryptocurrencies from speculative investments to recognized components of national economic strategy.
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