Post
More than a month after the first White House Crypto Summit, what changes have taken place in the market?
Replies
After the summit was officially held, no large-scale coin purchase plan or substantive new policy was announced, only the existing position of supporting the industry and moderate regulation was reiterated. As market expectations were dashed, there was a significant correction after the summit. Bitcoin fell by about 3% to 5% the day after the summit, and other mainstream currencies also generally fell by 5% to 10%.
Before the summit officially took place on March 7, the Trump administration hinted through social media at the end of February that it might include multiple cryptocurrencies such as BTC, ETH, XRP, SOL, ADA, etc. in the new US strategic reserve of cryptocurrencies. Affected by this, the market's expectations that the Trump administration might announce major benefits quickly heated up. Bitcoin rose from $84,000 to nearly $95,000, and the currencies mentioned by Trump also saw significant increases from the end of February to the beginning of March.
However, the actual content of the executive order did not include any additional purchase plans, but only stated that the Bitcoin assets currently held by the federal government would not be sold for the time being. This meant that there was limited room for new buying in the short term, which ultimately became one of the key reasons for the market correction after the summit.
Although the first White House Cryptocurrency Summit did not introduce major new policies or bring about immediate legislative action, the US government has made it clear that it will support light-touch regulation and encourage the development of the industry. From a policy perspective, the United States may be more proactive in formulating bills or regulatory mechanisms in the future so that the market is no longer in a vague or uncertain state. If future bills can be successfully implemented, it will encourage large financial institutions or technology companies to invest.
Compared with the strong suppression of the previous government, today's regulatory risks are relatively reduced. Many institutional investors, including investment banks, asset management companies, sovereign funds, etc., have become more tolerant of crypto assets and may expand their digital asset business. In the long run, national reserves and government openness are often important driving forces for bull market cycles. Even if there is no large-scale cash purchase of coins this time, the market still expects more government cooperation projects or infrastructure investment in the future.
