What to know:
- Trump is likely to announce a BTC reserve and a positive outlook for altcoins at Friday’s crypto summit.
- Despite Trump’s mention of altcoins like XRP, SOL, and ADA as part of the reserve, their market performance suggests minimal investor expectations.
- Observers caution that establishing a bitcoin-only reserve may take time, and the crypto community should manage its expectations.
President Donald Trump is scheduled to unveil a significant shift in the cryptocurrency policy, introducing plans for a crypto strategic reserve at the upcoming White House summit, U.S. Secretary Howard Lutnick reportedly stated. While Bitcoin (BTC) is anticipated to gain special favor, Lutnick highlighted that other cryptocurrencies would also be positively evaluated.
However, the marketplace seems to reflect cautious optimism for altcoins, as indicated by the subdued price movements of XRP, SOL, and ADA, which are coins Trump suggested for inclusion in the reserve.
BTC recently jumped to $91,000, representing a 4.5% drop from Sunday’s peak over $95,000 following Trump’s announcement. XRP is trading at $2.57, approximately 17% less than its high of $3.02 on Sunday, while Cardano’s ADA and Solana’s SOL are down 27% and 20% respectively.
This disparity suggests traders do not foresee Trump assigning a vital role to these altcoins in the strategic reserve. Speculators have indicated that Trump’s initial endorsement of these tokens may have been strategic to secure the BTC reserve, reflecting on whether an exclusive BTC reserve could materialize quickly.
“These two things—the U.S. wanting a BSR while the IMF actively blocks sovereign BTC accumulation—cannot be true at the same time. So while we can continue the domestic political theater around BSR (which I support, since everything has to start somewhere), the real signal to watch is the IMF. When that changes, you’ll know readiness is near. This is a long-term catalyst. Until then, everything else is noise.”
Translation: These two things — the U.S. wanting a Bitcoin Strategic Reserve while the IMF blocks BTC accumulation — cannot coexist. The real indicator will be the IMF’s change. This is a long-term factor; for now, all else is just noise.
