K33 Trump's Bitcoin Decision Ignored Due to Price, He Said: "It was a turning point" - Coin Bulletin

The Strategic Bitcoin Reserve created by US President Trump, (BTC), is seen as a historic turning point for Bitcoin despite the intense selling pressure in the markets.

The Strategic Bitcoin Reserve established by US President Donald Trump with the executive order he signed last week has ignited new debates in the market. Due to global recession concerns, the price of Bitcoin sharply dropped this week, falling to the lowest level of the year at $76,555 on Tuesday. Meanwhile, Ethereum dropped to $1,775 on the same day, hitting its worst level since November 2023.

Research firm K33 experts Vetle Lunde and David Zimmerman pointed out that Ethereum's value against Bitcoin continues to decline and the ETH/BTC ratio has dropped to its lowest point since December 2020.

As the decline in cryptocurrencies moves in parallel with the US stock markets, S&P 500 and Nasdaq have fallen to unprecedented lows since mid-September. However, according to experts, Bitcoin continues to diverge positively from other markets with an increase of approximately 13% since the US presidential elections.

K33 analysts do not see the establishment of Bitcoin reserves by the US as "an insignificant development" contrary to some commentators' claims. Analysts point out that the reserves will legitimize Bitcoin as a reliable store of value on a global scale and could serve as an example for other countries. Initially, the reserves are expected to hold around 103,500 BTC. A large portion of these BTCs consists of Bitcoins previously obtained from criminal activities and seized.

The Trump administration is also exploring budget-neutral methods to expand the reserve without adding extra costs to the US Treasury. Experts indicate that more information about the reserve will be clarified by May 5th.

Senator Cynthia Lummis reintroduced the bill on establishing the US Bitcoin reserve on Tuesday. According to experts, this move by the Trump administration could create a positive environment for long-term Bitcoin investments, despite short-term fluctuations.