US President Donald Trump’s intention of establishing a national strategic reserve of Solana (Sol), Cardano (ADA) and XRP sent the assets rocket as much as 60% on Sunday. The traders still express caution until the plans are more concrete.
“The current upward momentum may see a short -term correction as investors prices in the Crypto Reserve message and determine the legal viability of Trump to create the reserve,” Kevin Guo, director of Hashkey Research, told Coindesk in a telegram message on Monday. “Federal Reserve President Jerome Powell previously declared that the US central bank must not have a reserve of Bitcoin, so there are still technical obstacles in front of Trump’s plans.”
“The president’s crypto summit may follow up with more details or other possible messages that can promote the crypto market’s recovery from the recent low,” Guo added.
Trump is scheduled to hold the first crypto summit in the White House on Mar.7, where he is expected to share further plans on how crypto regulations and businesses will be supported in the country.
Trump announced on the truth social late Sunday that XRP, Sun and ADA would be included in an American strategic crypto reserve. Later, he added Bitcoin and Ethereum to the list of assets composing the reserve and has discussed the idea of a strategic cryptor reserve since his presidential campaign in 2024.
It sent the markets higher almost immediately, with Bitcoin rose 6.5% to over $ 93,000 Monday, and the wider market is traced by the widely based Coindesk 20 (CD20) up 7%.
Elsewhere, Tokens Chainlink’s Link, Uniswaps Uni and Movement’s steps up 8% over the last 24 hour-headscapable on their proximity to the Trump family supported World Liberty Financial.
Some still said there is more work ahead before the current rally can be considered persistent.
“We expect more volatility until further details can solidify the creation of strategy reserve, but the Crypto Market mood has quickly changed, signaling a potential continuation of the bull market,” Chris Yu, CEO of SignalPlus, told Coindesk in a telegram announcement.
Yu expects investors to keep an eye on influx to US-traded ETF products after the recorded record outflows last week, where an increase could give signals on signs of a bottom and the possible continuation of the bull market.
