In a groundbreaking announcement on March 2, former President Donald Trump revealed plans to incorporate Bitcoin, Ether, XRP, Solana, and Cardano into a newly proposed U.S. strategic crypto reserve. Sharing the news via Truth Social, Trump’s endorsement sent shockwaves through the market, triggering a surge in cryptocurrency values. Bitcoin soared past $94,000, while Ether saw a 13% jump to $2,516, contributing to a market-wide expansion of over $300 billion within hours. The announcement follows Trump's executive order on digital assets issued in January, signaling a stronger government stance on cryptocurrency adoption.
Twitter sped up the cryptocurrency market when Trump made his official endorsement. Bitcoin the biggest cryptocurrency, achieved over 11% growth to reach $94,164. During this period Ether extended its price by 13% until it reached $2,516. A broad market expansion occurred because these gains resulted in cryptocurrency value exceeding $300 billion within several hours.
Markets demonstrated favorable responses through growing investor interest in the assets that Trump specifically mentioned. According to expert analysis, the market has increased due to new political direction from the government that indicates stronger participation in crypto activities.
Trump maintains his endorsement of cryptocurrency during his 2024 campaign because it remains one of his primary campaign issues. Trump dedicated his presidency to advocating for both cryptocurrency and blockchain technologies since the beginning of his term. Unlike the Biden administration, Trump's administration chooses to avoid regulatory actions toward crypto companies yet leads the way in cracking down on fraud alongside money laundering.
Trump has hosted a White House Crypto Summit while maintaining his strategic reserve status in the cryptocurrency market. Backed support from the President could bring additional regulatory certainty which would likely result in institutional involvement in digital asset investments.
An announcement of this type has generated positive market interest but cryptographic experts remain divided on how to implement the reserve foundation. Experts within the legal field along with analysts express contrasting views about whether a Congressional act will be mandatory for such establishment. Legal experts differ over how to create the reserve since some believe the U.S. Treasury’s Exchange Stabilization Fund could establish it but others propose using confiscated law enforcement cryptocurrencies as its foundational base.