Bitcoin Dips as Trump’s Inauguration Speech Omits Crypto, Strategic Bitcoin Reserve Waits
Bitcoin’s price faced a decline on Monday after President Donald Trump’s inauguration speech skipped over cryptocurrency, including the much-anticipated topic of a U.S. strategic bitcoin reserve.
The absence of crypto-related mentions during the speech, combined with a GOP report that also did not touch on bitcoin or digital assets, led to a wave of disappointment among investors. Bitcoin (BTC), which had briefly spiked above $109,000, dropped during the speech to test the $100,000 level, reflecting the market’s reaction to the lack of direction from the new administration on crypto policy.
Market Reacts to Missed Crypto Promises
Bitcoin’s pullback underscores the market’s high expectations for a crypto-friendly stance from Trump. While many had hoped for clear signals on bitcoin’s role in U.S. policy, the speech did not provide the anticipated clarity. The price drop highlights how sensitive crypto markets are to such political developments.
Pro-Crypto Appointments Before the Speech
Despite the omission during the speech, Trump has made some moves that suggest a more crypto-friendly agenda. Prior to his inauguration, he appointed David Sacks, former PayPal COO, as the White House’s “A.I. & Crypto Czar” and nominated Paul Atkins, a longtime crypto advocate, to head the Securities and Exchange Commission (SEC). These steps have led to increased optimism about the administration’s potential approach to digital assets.
Memecoin Launch Draws Criticism
Trump’s memecoin launch over the weekend, followed by a similar initiative from Melania Trump, has sparked both a speculative frenzy and criticism within the crypto community.
“It’s a huge misstep,” said Nic Carter, co-founder of Castle Island Ventures. “The focus should be on real crypto adoption, not on these memecoins that undermine the space.”
Market Sentiment Shifts Lower
The lack of a strategic bitcoin reserve mention during the inauguration speech has caused a shift in market sentiment. According to Polymarket, the probability of Trump creating a strategic bitcoin reserve in his first 100 days has dropped from 60% to 45%.
While Trump’s inauguration did not provide the immediate crypto policy boost many had hoped for, his previous actions suggest that crypto could still have a prominent role in his administration. As the months progress, the market will likely remain attentive to any further signals or initiatives related to cryptocurrency.
