This article will analyze why Trump’s victory can be the most important event in cryptocurrency history.
Two weeks after surviving an assassination attempt, Trump gave the following speech. Bitcoin ConferenceThe United States has declared that it will be the world’s cryptocurrency and the capital of Bitcoin. He announced that the US government would not sell a single unit. BitcoinCryptocurrency regulations will be enforced, and the most notable thing is that the US will secure strategic bitcoin reserves based on existing gold and oil reserves.
In particular, the cryptocurrency advocacy has contributed to Trump’s victory, considering that the cryptocurrency community has been younger, versed in technology, urban, and historically. Elon Musk, Vivek Ramaswey, JD Vance, Scott Besant, Paul Atkins (SEC Chairman), RFK JR. is a pro -business and pro -cancer luxury.
Such monumental promises and much larger expectations seemed to have all the elements that would be significant in the cryptocurrency market. But if something looks so certain, is it always like that?
But history teaches that when the market is high, the actual results may always not meet such expectations. Many investors have already taken a buying position and have effectively bet on the expected results.
Short -term considerations such as past price fluctuations and elapsed time after the last time Bitcoin half -life In relation, this analysis will explore another point of view that Trump’s victory has opened a new era where the existing market paradigm no longer applies.
1. Bitcoin ETF
In January 2024, the Bitcoin ETF approval allowed Wall Street and institutional investors to enter the Bitcoin market, which had not been accessible before. Bitcoin ETF has become the fastest growing ETF in history. rainTribe Bitcoin ETF Gold ETF has accumulated more assets within one year than the assets accumulated for 20 years. Ethereum ETF followed and discussed Solana and XRP ETF.
2. Bitcoin in corporate financial strategy
More and more companies are integrating Bitcoin into financial strategies to preserve capital. The goal of this strategy is: It is ahead of the inflation measured by the Consumer Price Index (CPI). Historically, it surpasses the S & P 500, which has an annual return of 10%. In the last decade, Bitcoin’s annual growth rate has reached 100%, making it an excellent asset for capital preservation. During this period, no other assets have shown this rapid growth.
3. Strategic Bitcoin Return
The key element depends on the strategy establishment. Bitcoin retention. President Trump repeatedly expressed his commitment to the plan after the election. These reserves will help the US government’s two main purposes. In other words, the value of Bitcoin is gained by increasing the value of the limited supply and increasing currency supply.
Historically, the value of Bitcoin tends to rise as the dollar value falls. In order to maintain the global dominance of the United States even in the future when the digital economy is dominated by cryptocurrency CBDCSimilar to the 1944 Bretton Woods Agreement, which has accumulated a huge amount of gold reserves before the US has established the dollar as a global preparatory currency, Bitcoin retention can be a way for a new global financial order.
If the United States creates Bitcoin reserves, other countries will have to follow it in order to keep up with the new digital economy. Just as the nations maintain gold retention today, the reason is the hedge.
4. Cryptocurrency regulation
Then there is a promise that the US government will especially like -friendly cryptocurrency regulations on stable coins. The extensive EU market for encryption asset guidelines has been excessive but interfering with promising. Cryptocurrency project. This has opened a door for the United States to become the capital of the world.
conclusion
Trump’s victory probably triggered the biggest trigger. Bull In cryptocurrency history. This means a completely new era in the industry. Cryptocurrency has become part of national strategy reserves, corporate financial strategies and worldwide asset classes.
But the greater danger is Trump’s potential to be fulfilled. He may be able to achieve the market unexpectedly. Despite the expected delays and violations of the promise, the long -term direction of cryptocurrency looks firm. This trajectory seems to be a personal individual with American leadership. Other countries, such as the BRICS countries, can play a leading role in evolving financial systems.