News Headlines
- Donald Trump names BTC and other assets in U.S. Crypto Reserve.
- Tether CEO predicts Bitcoin total domination.
- Coinbase CEO Brian Armstrong suggests Bitcoin as best option for Crypto Reserve.
- Trump’s crypto czar David Sacks says he sold all digital assets before administration began.
Price Action
After today’s announcement by Donald Trump about the U.S. Digital Asset Reserve, Bitcoin rallied hard.
It had dropped down to the 200-day moving average, and since the announcement has now bounced up to the 128-day moving average. The 128-day moving average is now acting as resistance.
Both of these moving averages are key moving averages for Bitcoin in bull markets. They typically act as support on pullbacks, as we have seen again with the 200-day moving average in recent days.
Figure 1: Bitcoin bouncing off the 200 day moving average.
After a brief fake-out below the range support we have been tracking in this newsletter, $BTC has burst back into the range and is currently bouncing off the upper level of range support at $91,800.
Figure 2: Price now back in the range.
If $BTC can close above the 128-day moving average then the next target will be the $100,000 area.
The Big Story: Trump names Bitcoin and other assets in U.S. Strategic Reserve.
President Donald Trump has announced the formation of a U.S. strategic cryptocurrency reserve, incorporating digital assets such as Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA). The initiative aims to bolster the nation's leadership in digital asset innovation and represents a significant policy shift from previous administrations.
The announcement led to immediate market price reactions:
-
Bitcoin (BTC): Surged over 11% to approximately $94,164.
-
Ethereum (ETH): Increased by about 13% to $2,516.
-
XRP: Jumped from $2.23 to $2.99, boosting its market capitalization by $44 billion.
-
Solana (SOL): Rose from $140 to $168.
-
Cardano (ADA): Climbed from $0.68 to nearly $1.
There was scepticism among some industry insiders around the inclusion of digital assets beyond Bitcoin. Others were curious to learn more about the details.
Coinbase CEO Brian Armstrong stated a proposal for the final U.S. Strategic Reserve:
Figure 4: Brian Armstrong Tweet.
This move is expected to accelerate institutional adoption, provide greater regulatory clarity, and strengthen U.S. leadership in digital asset innovation. It marks a departure from the previous administration's stringent regulatory measures, signaling an era of more favorable policies for the crypto industry.
Industry experts are providing a wide-range of views as to the weight and inclusion of assets in the U.S. Strategic Reserve. It is our viewpoint that Bitcoin, as the hardest asset available, would make most sense in the Strategic Reserve.
We now wait to see the game theory of other nations potentially responding and creating their own Strategic Reserves over the coming weeks and months.
Live Chart Review: Bitcoin Realized Price
Figure 4: Bitcoin Realized Price
What is Bitcoin Realized Price?
- Definition: Bitcoin’s Realized Price is the average price at which all Bitcoin in circulation were last transacted on-chain.
- Calculation: It is derived by dividing the Realized Market Cap (total value of all BTC based on their last movement price) by the current supply of Bitcoin.
- On-Chain Metric: Unlike traditional price metrics, it is based on actual transactions rather than market price.
Why is it useful?
- It provides a good proxy for the average entry price of all the market participants.
- When price dips below the Realized Price it shows the market is under great stress. These periods have historically marked the major lows of bear markets, before price then rallies higher. See the chart above when Bitcoin price (black line) dips below it’s Realized Price (orange line).
- Right now Realized Price is at $43,416 and is climbing.
Alerts for this indicator are available to Bitcoin Magazine Pro platform subscribers. Subscribe here.
The Bitcoin Magazine Pro Team.