Why was Bitcoin fell after starting the US BTC resenn?
On Mar. 7. Marta 2025, Cripto Investor and Wolf of all Street Podcast host Scott Melker dedicated a huge part of his newsletter to launch Bitcoin reserves and public reactions to it. Later that day, several statements added through its KS account, explaining the importance of this historical event.
American Strategic Creation of Reserve Bitcoin
Donald Trump promised Stock Bitcoin’s starting during his speech in the summer 2024. at the Nashville Bitcoin conference. At the same time, Sen. Sinthia Lummis presented the BTC Reserve account, which suggested that a million Bitcoin should be acquired in five years.
Expectations were great. CRIPTTO X was full of posts with hope that Trump will sign the order of creating a reservation Bitcoin immediately after the inauguration. The reality turned out to be less exciting because Trump did not even mention crypto in his inaugural speech. However, he pardoned the Ross Ulbricht Silk salt, which he promised to do. Bitcoin Reserve Plans are confirmed later, and Sen. Lummis joined the Senate subdivision on digital property as a chair.
6. Mar. executable Bitcoin Reserve was signed. The reserve has been shown to be different from the one that Lummis is proposed. His spirit is much closer to the initial Trump vision of stocks composed of seized bitcoin that the government will not sell. The reserve will grow through seizures and pits, so it will not use taxpayers’ money. More than that, the reserve can be increased using other taxes not related to taxes.
Currently, now they maintain about 200k Bitcoin. The exact amount is not yet clear, so the government runs audit. Stockpile digital means is created on the same day. This will include other cryptocurries, namely ETH, ADA, SOL and KSRP. Some indicate There is a possibility that conflicts of interest, because Cri-Crap Crapt Cripto Crar David can indirectly benefit from creating a reservation of these cripples. Sack denies these charges.
After creating a reservation Bitcoin, the price of BTC fell for $ 5,000, while creating strategic reserves Bitcoin always perceives as a trigger to let the bulls go. Scott Melker explained why the price fell and why that move was great despite criticism.
He explained a drop in price
Scott Melker resolutely connects the fall of the price with disappointment from those who expected to start launching Bitcoin reserve after purchasing Bitcoin in large quantities.
Melker starts his message in the bulletin with “We did it”, inviting recognizing Bitcoin as a strategic means “The biggest move still in the match Bitcoin.” From the beginning, Melker states that other countries will have to follow the suit in Bitcoin Race. He emphasizes that the United States will barely tolerate that others are after China in terms of BTC reserves. From now on, the American reserve can be less than Chinese. It sets phase for Rasina global bitcoin to move the price for a long run.
Furthermore, Melker explains that the difference between the stock of digital assets and Strategic Bitcoin reserve indicates that the US is explicitly considering the criteria of a strategic asset that is worth finding potential purchase agents.
“While some critics do not affect the market, because the government does not buy a Bitcoin yet. The United States has just signaled that the key financial assets are, and history tells us that when America asks the standard, the rest of the world follows”.
As for the fall of prices, Melker throws in another factor, saying that when the big news “falls on the illicid market – the lever extends weak hands”. Larger investors then appear, by moving the price. And that actually happened. The wolf of all host streets continues saying that global demand for Bitcoin will encourage the Launch of SBR to increase the pressure in the long run.
Other reactions
There were angry voices across the Internet after the details of the BTC reserves were discovered. Many people were disappointed by the decision not to spend money taxes to buy more bitcoin. Some do not even see many differences between us marshals who hold the seized Bitcoyne and American cash registers holding the same coins in SBR.
Understanding, Scott Melker faced this point of view while ignoring what was written in order, which denies the future budget-neutral BTC acquisitions.
Jeff Park in Bobra put off the executive order, saying it was nothing strategic about it. Park said that the whole SBR story showed that the main chapter of pumps and disposal was, and he is happy to be done.
Many Bitcoin Bulls praised the move, expressing a little without disappointment, calling a historical executive order. For example, Senator Lummis expressed his full support that his project was rejected. The only concern he raised was the lack of congress support for the Bitcoin Strategic Reserve.
The prominent Bitcoin support used by the Moniker Bitcoin therapist called the sequence of “most news that has been the news of the last four years.”
Anyway, the United States crossed the Rubicon. We will see what happens next.
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2025-03-08 00:00:00
