"As 2025 comes to a close, Donald Trump's favorable approach to cryptocurrency has not proven to be enough to sustain the industry's gains, once the source of market-wide optimism and enthusiasm. The last few months of the year have seen $1tn in value wiped from the digital asset market, despite bitcoin hitting an all-time-high price of $126,000 on 6 October."
"Bitcoin's price tumbled just days later after Trump's announcement of 100% tariffs on China sent shockwaves across the market on 12 October. The crypto market saw $19bn liquidated in 24 hours the largest liquidation event on record. Ethereum, the second-largest cryptocurrency, saw a 40% drop in price over the next month. Eric Trump's own crypto company endured a similar drop in its value in December."
"Within days of taking office for the second time, he issued an executive order that repealed restrictions on cryptocurrency and introduced new favorable regulations as well as a presidential working group on digital assets. The digital asset industry plays a crucial role in innovation and economic development in the United States, as well as our Nation's international leadership, the order read. He placed cryptocurrency front and center in American policy."
Donald Trump's pro-cryptocurrency actions initially boosted digital-asset prices, including a bitcoin surge to $126,000 on 6 October and market rallies after a strategic reserve announcement. Rapid policy moves included an executive order repealing restrictions, new favorable regulations, and a presidential working group on digital assets, plus a strategic cryptocurrency reserve that lifted several coin prices. Market shocks from Trump's 100% tariffs announcement on China triggered massive liquidations—$19bn in 24 hours—and wiped about $1tn from the market. Ethereum plunged about 40% over a month and some crypto firms suffered similar December value drops. Cryptocurrency remains highly sensitive to narratives and global market sentiment and behaves as a risk-on asset.
Read at www.theguardian.com
Unable to calculate read time
Collection
[
|
...
]