Trump's Entry Stirs Cryptocurrency World

Bitcoin and other cryptocurrencies saw volatility following Donald Trump's inauguration as U.S. President, which did not address digital assets. The launch of Trump-branded tokens has raised conflict-of-interest concerns. Upcoming changes in the SEC may alter cryptocurrency regulations under Trump's administration.

On Tuesday, the cryptocurrency market, including Bitcoin and a newly minted token named after Donald Trump, experienced a downturn following the U.S. President's policy announcements that omitted any reference to cryptocurrencies.

Bitcoin achieved a record price of $109,071 on Monday, coinciding with Trump's swearing-in as the 47th President, but later settled at $101,705.40. The Trump-themed coin, introduced last Friday, dropped to $34.4 from its peak of $74.59, as shown by CoinGecko. The lack of crypto-focused policies from Trump sparked disappointment among industry enthusiasts.

Trump's speech included executive orders touching on trade, immigration, and energy but left out digital assets. Market analysts like Matthew Dibb from Astronaut Capital suggest a selloff in the crypto market was expected as investors had hoped for immediate changes in regulations. Meanwhile, Trump's administration is anticipated to influence the SEC's stance on digital assets, with personnel changes that could signal a more crypto-friendly policy direction.

(With inputs from agencies.)