The finance world was abuzz on Thursday as Bitcoin’s price soared past $106,000, driven by a whirlwind of developments in U.S. crypto policy and growing speculation about President Donald Trump’s plans for a national Bitcoin reserve. The day started with Bitcoin trading at a steady range of $101,000 to $102,000, but a series of pivotal announcements quickly shifted the market’s momentum.
“Big things are Coming”
The excitement began when U.S. Senator Cynthia Lummis, a vocal advocate for Bitcoin, sent a cryptic post on X (formerly Twitter): “Big things are coming.” The tweet, adorned with a Bitcoin logo, hinted at significant developments in the crypto space. She followed up with a note urging followers to stay tuned for a 10 a.m. announcement, sparking immediate speculation and an initial price surge above $105,000.
At the anticipated hour, Lummis revealed her appointment as Chair of the Senate Banking Committee’s newly formed Subcommittee on Digital Assets. She boldly declared, “Digital assets are the future,” emphasizing the need for bipartisan legislation to regulate cryptocurrencies. Lummis also advocated for a strategic Bitcoin reserve, suggesting it could bolster the U.S. dollar’s position in global markets. The news added fuel to Bitcoin’s rise, which closed the day up 3% and contributed to a 7% gain for the week.
Trump and Bukele: A Strategic Discussion?
As markets absorbed Lummis’s announcement, another headline added to the frenzy. Reports indicated that President Trump was scheduled to hold a call with Nayib Bukele, the president of El Salvador, the first nation to adopt Bitcoin as legal tender. Under Bukele’s leadership, El Salvador amassed over 6,000 BTC, currently valued at approximately $622 million, as part of its strategic reserve.
This rumored discussion sparked fresh speculation about Trump’s campaign promises to establish a U.S. national Bitcoin reserve and position the United States as a global leader in digital assets. While no formal announcement followed, the very idea of integrating Bitcoin into America’s financial strategy sent waves of optimism across the crypto market.
The Market Reacts
Binance CEO Changpeng “CZ” Zhao weighed in on social media, stating, “U.S. Strategic Bitcoin Reserve pretty much confirmed. Crypto moving at crypto speed again.” Though no official confirmation has been issued regarding the reserve, market sentiment clearly reflected growing confidence in Bitcoin’s role in future U.S. policy.
However, not everyone is convinced. Data from Polymarket, a crypto prediction platform, revealed that only 42% of participants believe Trump will establish a Bitcoin reserve within his first 100 days in office. This skepticism underscores the challenges of translating political rhetoric into actionable policy.
What should we expect from A National Bitcoin Reserve policy?
Thursday’s events reflect a broader shift in U.S. crypto policy, with lawmakers increasingly engaged in digital asset regulation. The idea of Bitcoin as a national reserve asset continues to capture attention, buoyed by market speculation and political developments. As Bitcoin remains above $106,000, its trajectory will likely hinge on further policy announcements and global adoption trends.
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