Just last week, Bitcoin was deep in the red, sinking below $80,000. But in a dramatic turnaround, the leading cryptocurrency has surged over $14,000, thanks in large part to President Donald Trump. Over the weekend, Trump announced plans to create a strategic crypto reserve, shifting gears from his earlier promise to stockpile Bitcoin.
Trump’s cryptocurrency reserve will consist of Bitcoin, often referred to as “digital gold” for its ability to hedge against inflation, along with Ether, the second-largest cryptocurrency by market cap, XRP, Solana, and Cardano.
Although the latest proposal lacks key details — such as the size, timing, and whether the Federal Reserve or another entity will manage it — the announcement nonetheless triggered a broad surge in prices.
By Monday morning, Bitcoin was hovering around $93,000, with more than an 8% jump in 24 hours and 20% in the past three days. Ether, the native token of the Ethereum network, jumped 7.4% in the same period, while Solana gained 16.8%. XRP and Cardano saw even bigger leaps, soaring 20% and 53% in just one day.
Trump’s move has sparked mixed reactions within the crypto industry. Some argue that diversifying the national reserve with various cryptocurrencies could be beneficial, while others caution that it could be a risky proposition. Beyond Bitcoin, which serves as a hedge against inflation, other cryptocurrencies have distinct use cases, and adding them to the reserve may not be necessary or prudent.