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Amid a flurry of executive orders on President Donald Trump’s first day in office, cryptocurrency didn’t get so much as a nod on Monday.
Despite soaring to a record high of more than $109,000 during Trump’s inauguration as the 47th president of the United States, Bitcoin has fallen more than 2% in the past day. As of Tuesday morning, the largest cryptocurrency by market capitalization was valued at $104,396.
Bitcoin’s rapid rise in recent years — and its equally fervent fandom — have made it a key issue for the returning president. That also means Trump’s first actions on cryptocurrency will be under intense scrutiny, Alexander Blume, CEO of Two Prime, an SEC-regulated Registered Investment Advisor specializing in digital asset derivatives, told Quartz.
Trump, who this time around has positioned himself as the crypto president, made lofty promises on the campaign trail. One of those: establishing a national Bitcoin reserve. Blume warned that failing to fulfill that promise early in his new term would spark a backlash.
Trump’s track record with the crypto community has been anything but spotless. During his first term as president, Trump called Bitcoin a “scam” against the U.S. dollar, and in a 2019 tweet he said he was “not a fan” of Bitcoin and other cryptocurrencies. When Trump first won the presidency in November 2016, Bitcoin was valued at about $700.
With Biden-era appointees on the way out the door, one high-profile departure was celebrated by the crypto community. Securities and Exchange Commission Chair Gary Gensler, a vocal opponent of cryptocurrencies, officially resigned from his post on Monday.
Gensler’s departure is a win for the crypto lobby, which has crusaded against the SEC official for the agency’s strict oversight of the industry. His SEC took on high-profile cases against a number of major industry players, such as Coinbase and Binance. According to the agency, 18% of its complaints were related to crypto.
Gensler’s resignation clears the way for Trump’s SEC pick, Paul Atkins, to take over the agency. Atkins’ appointment still needs to be confirmed by the Senate.
— Vinamrata Chaturvedi and William Gavin contributed to this article.