Trump’s Crypto Reserve Plans Sends Bitcoin to $95K, Altcoins Surge, and BTC Dominance Dips Under 60%

Donald Trump’s announcement to include XRP, Solana, and Cardano in the US Crypto Strategic Reserve sparked immediate market volatility, with Bitcoin’s dominance dropping from 55.4% to 49.6% while selected altcoins surged dramatically. The move, later bolstered by the inclusion of Bitcoin and Ether at the reserve’s “heart,” has ignited both market euphoria and expert criticism regarding the future focus of America’s crypto reserves.

• Bitcoin dominance fell below 50% on Sunday, reflecting an immediate market shift, before recovering under 60%.

• Altcoins such as Cardano and XRP saw gains of 60.3% and 34.7% respectively over 24 hours.

• President Trump’s reserve now includes BTC, ETH, XRP, SOL, and ADA, blending traditional crypto with altcoins.

• Experts warn that a Bitcoin-only reserve would have been more logical for long-term strategic value.

• The upcoming White House Crypto Summit on March 7 aims to address these regulatory and strategic challenges.

Crypto market cap recovers past $3 trillion after Trump’s crypto reserve plans | Source: CMC

President Donald Trump recently revealed that his administration’s Working Group on Digital Assets would incorporate a selection of cryptocurrencies—namely XRP, Solana, and Cardano—into a new “Crypto Strategic Reserve.” The news not only propelled Bitcoin to a remarkable $95,000, showing an approximate 10% surge, but also led to an immediate drop in its market dominance from 55.4% to 49.6%. Investors responded swiftly, with altcoins witnessing significant gains that underscored the market’s readiness to embrace a diversified digital asset strategy.

Cardano Surges By Over 60%, XRP Gains 27%

ADA/USDT, XRP/USDT price charts | Source: TradingView

The inclusion of altcoins has redefined market dynamics as Cardano experienced a 60.3% rally and XRP climbed by 34.7% within 24 hours. Solana and Ether also recorded substantial increases, at 25.5% and 13.1% respectively, highlighting the heightened volatility and potential rewards within the altcoin sector. This diversification into assets beyond Bitcoin reflects a broader trend in the crypto market, where investors are increasingly seeking opportunities outside the traditional digital gold narrative, despite the inherent risks.

Investor sentiment has been notably mixed following Trump’s decision. While many celebrate the rapid price surge of Bitcoin and the bullish run of select altcoins, prominent market analysts and Bitcoin purists have voiced concerns. 

Source: X

Critics such as Peter Schiff have questioned the logic behind including assets like XRP in a national reserve, arguing that Bitcoin’s status as “digital gold” should make it the sole focus. Meanwhile, industry experts like Jeff Park from Bitwise and Nick Neuman of Casa contend that a Bitcoin-only reserve would better align with long-term strategic goals, hinting at potential adjustments as the market evolves.

Regulatory Implications and Policy Debates

The announcement is part of a broader initiative led by the newly formed Working Group on Digital Assets, which is set to culminate in the first White House Crypto Summit on March 7. This summit will bring together industry leaders, regulatory experts, and policymakers to deliberate on the future of digital asset regulation, stablecoin oversight, and strategic reserve composition. 

The initiative also comes at a time when state-level Bitcoin reserve bills are gaining traction, though some analysts caution that without a significant purchase plan or policy shift, these legislative measures may remain largely symbolic.

Read more: What Is a Strategic Bitcoin Reserve and How Likely Is it? 

As discussions continue at the upcoming summit, market watchers are eager to see if the administration will lean further into a diversified asset strategy or pivot to a more Bitcoin-centric approach. The changing regulatory landscape and the current administration's stance on blockchain innovation suggest that the US is poised to become a global hub for digital assets. With the potential for further volatility and regulatory shifts, investors are advised to stay alert as policy developments could dramatically reshape the future of crypto assets in the national financial ecosystem.

Trump’s move to create a Crypto Strategic Reserve marks a significant moment in the evolution of digital asset policy in the United States. As Bitcoin celebrates a new high of $95,000 and altcoins make dramatic gains, the coming weeks will reveal whether the nation’s strategic approach to crypto can balance innovation with stability in an increasingly competitive market.

Read more: The Race for Strategic Bitcoin Reserves: More U.S. States Move Toward Crypto Adoption