“The repeal of SUB121 is more important than a BTC federal reserve,” says Van Straten.
The cryptocurrency market reacted with high volatility to Trump’s presidential inauguration.
The bitcoin (BTC) and cryptocurrency market is closely following the next steps of Donald Trump, who assumed the presidency of the United States yesterday.
During his campaign, Trump promised significant measures in favor of cryptocurrencies, including the possible incorporation of bitcoin as a strategic asset in the US reserve. However, the absence of mentions of this issue in his first speeches as president generated uncertainty and high volatility in the market.
The community is going crazy because Trump did nothing about the ecosystem the first day he took office, points out analyst Will Clemente. According to your vision, It is an exaggerated reaction and does not rule out their involvement with the ecosystem. “Regulations in favor of cryptocurrencies are coming,” he maintains.
“Trump was unlikely to mention cryptocurrencies in his initial speech,” indicateson the other hand, the analyst Miles Deutscher. “What matters is what happens in the next few days,” he says. There are hopes for a pardon for Ross Ulbricht, founder of Silk Road, and an executive order that makes it easier for banks to hold digital assets, he emphasizes. “Patience,” he clarifies.
According to Circle CEO Jeremy Allaire, Trump could sign an executive order to repeal a Securities and Exchange Commission accounting bulletin called SAB 121.which prevents banks and financial institutions from holding crypto assets on their balance sheets. He also expects Congress to be very active on regulations in favor of cryptocurrencies in the coming weeks.
“Repealing SAB 121 is a more important issue than a strategic reserve of bitcoin in the short term,” warns analyst James Van Straten. The specialist highlights that this change would allow banks to use digital assets as collateral, integrating them into financial products and loan systems.
For Van Straten, its removal will improve liquidity and open new revenue streams. “The winds of impact are infinite,” he warns regarding the market.
“For the first time, the SEC and CFTC are in the hands of leaders who oppose restrictive regulation and support clear rules for cryptocurrencies,” has stood out cryptocurrency attorney and Blockchain Association board member Jake Chervinsk.
In this sense, As the new government settles into its work, regulatory changes could emerge for the industry..
New pro-cryptocurrency measures could come before a US BTC reserve
“It is expected that in the coming days there will be pronouncements in favor of bitcoin and cryptocurrencies, perhaps with the issue of SAB 121, where banks could now custody bitcoin, or that they will remove taxes from cryptocurrencies,” precise the analyst Juan Rodríguez.
According to his vision, that, which can be implemented with an executive order, may be what will impact the market in the short term. Therefore, Price agitation could continue whether these measures are implemented or not.
“The market lowered the temperature around expecting a strategic reserve of bitcoin in the first 100 days of the Trump government,” says Rodríguez. However, he emphasizes that the prospects for it to happen at some point in the year still remain.
Base this on cryptocurrency betting on the Polymarket platform. These predict a 32% probability of it occurring in the first 100 days and 64% at some point in 2025.
With this panorama, the market is closely observing the actions of Trump and his team, eager for campaign promises to be transformed into concrete policies that boost the bitcoin and cryptocurrency ecosystem.
Meanwhile, The price of BTC remains around USD 104,000, after having set a new record of USD 109,300 yesterday before the presidential inauguration, as reported by CriptoNoticias.
