Trump relieves crypto slump with new promises about a US reserve

The announcement of a U.S. strategic reserve for cryptocurrencies by Trump indicates potential long-term investment stability in the crypto market, especially for mainstream cryptocurrencies like Bitcoin and Ether that are already well-established. Such government involvement could also increase institutional investment in cryptocurrencies, which has been limited thus far. However, market volatility remains a concern, particularly with altcoins such as Cardano and Solana, which are more susceptible to speculative investment trends.

The increased focus on cryptocurrencies by a former president and its implications for U.S. economic policy could draw in new retail and institutional investors, giving a bullish outlook for major cryptocurrencies like Bitcoin, Ethereum, and XRP. However, this high-profile endorsement may also provoke regulatory scrutiny, which can add to market volatility.