Bitcoin Drops Below $85K After Trump’s “Crypto Strategic Reserve” Announcement
Bitcoin plunged nearly 10% to below $85,000 after an initial surge following former U.S. President Donald Trump’s announcement of a “Crypto Strategic Reserve” on Sunday, CE Report quotes Anadolu Agency
In a Truth Social post, Trump claimed the initiative would boost Bitcoin, Ethereum, and other cryptocurrencies like XRP, SOL, and ADA, positioning it as a response to “years of corrupt attacks by the Biden Administration.”
The global crypto market fell over 10% in 24 hours, dropping to $2.7 trillion, according to CoinMarketCap. As of 08:00 GMT Tuesday, Bitcoin traded at $83,185, while Ethereum plummeted 14% to $2,102.
Analysts suggest Trump’s proposal raised concerns that funding for the reserve could come from cryptocurrencies seized by law enforcement, potentially causing transfers between accounts rather than new market inflows.
