Donald Trump’s Pump & Dump (?!?), Economic Uncertainties, Return to the $80K Zone … What’s Next for Bitcoin?
Bitcoin Price Update.
Less than 48 hours ago, Donald Trump announced his social network that would unleash a monumental pump on the Bitcoin and cryptocurrency markets. America is indeed going to have a national digital stockpile according to Donald Trump. Initially, Donald Trump only mentioned Made In USA blockchain coins: XRP, SOL, and ADA. It would seem that the relentless lobbying of the founders of these projects has paid off...
And then, faced with the frenzy this triggered within the cryptocurrency world, Donald Trump quickly clarified that Bitcoin and Ethereum would be part of the deal. This put the market in the green, with Bitcoin back close to $95K:
Donald Trump, along with Trump's Crypto Tzar David Sacks, then clarified that more announcements on this subject will be made on March 7, 2025, at the first-ever White House Crypto Summit that Trump will host. That's when the exact strategy is to be revealed.
The most obvious scenario and plan for the Crypto Reserve so far is the one proposed by Wyoming Senator Cynthia Lummis in 2024. Under this plan, the main strategy involves purchasing 200,000 BTC annually for 5 years. Similar purchases of ETH, SOL, XRP, and ADA will likely be similar, but the exact amounts are unclear.
The main price surge for these assets will come at the moment when the first accumulation actions take place. For now, what happened looks like pure manipulation. Following the announcement, we saw the following growth over 12 hours:
BTC +15%
ETH +20%
XRP +30%
SOL +30%
ADA +70%
But at the moment, we have seen an almost equal pullback to the same prices as before the announcement. This confirms the feeling of some that Donald Trump has just announced without any real commitment since he doesn't have the power to do this without the support of the American Congress. It's just words at this stage. No more, no less. So far, they haven't taken any action and don't have the funds to buy BTC and other crypto assets.
This is where the question of a potentially large-scale manipulation orchestrated by people close to Donald Trump surfaced. Right before the announcement, someone entered a 50x long on BTC and ETH, using just $4M to create a $200M position. Immediately after the pump, they closed their positions, making over $6.8M in a day.
Some might call it luck, but with that amount and 50x leverage, there’s no such thing as luck. If crypto had dropped even slightly, their positions would have been liquidated.
Here are their positions:
Long ETH at $2,197 with liquidation at $2,149.4
Long BTC at $85,908 with liquidation at $84,752
Judge by yourself.
The aim here is not to propagate FUD but to remind you that this type of manipulation will tend to multiply now that President Trump himself has set an example by showing that anything goes in the cryptocurrency world. If Donald Trump can afford to Pump & Dump his Meme Coin $TRUMP a few hours before arriving at the White House, anything becomes possible. All the worst crimes are potentially possible in the world of Bitcoin and the world of cryptocurrency.
So you need to be extra careful. Let's wait and see what's announced on March 7, 2025, at the White House Crypto Summit and hope that $TRUMP isn't added to the US national digital stockpile.
With that reminder of caution and common sense, I'd like to take a look at the Bitcoin price after a few days of pure market manipulation. It’s time for a Bitcoin Price Update.
Donald Trump Vs. Bond Vigilantes – The Tug-of-War Has Begun.
Who will give in first?
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