Bitcoin holds steady below recent highs as markets eye Trump crypto policies, Fed cues
Bitcoin edged up on Wednesday, stabilizing at $96,418.1 by 00:51 ET (05:59 GMT), up 0.3% but remaining in a two-week trading range of $90,000 to $100,000. The cryptocurrency struggled to breach the $100,000 level despite its post-election rally following Donald Trump’s presidential victory in 2024.
Trump’s pro-crypto stance under scrutiny
Markets are closely watching for signals on U.S. monetary policy and the impact of Trump’s promised crypto-friendly policies. The President-elect has pledged to make America the “crypto capital of the world,” even suggesting the creation of a Bitcoin national reserve.
Key cabinet picks for Treasury Secretary and Secretary of Commerce are reportedly pro-crypto, and Trump is rumored to favor shifting crypto oversight to the Commodity Futures Trading Commission from the SEC. However, analysts remain skeptical about the feasibility of his promises, particularly the establishment of a Bitcoin reserve, given priorities like fiscal conservatism and maintaining dollar stability.
Recent reports of $1.9 billion in Bitcoin being mobilized by the U.S. government raised concerns about a potential sell-off, further tempering market optimism.
Altcoins lose momentum as Fed remains in focus
Major altcoins traded mixed, mirroring Bitcoin’s caution as Federal Reserve Chair Jerome Powell’s upcoming speech and nonfarm payroll data later this week remain key market drivers.
- Ether gained 0.9%, trading at $3,666.0.
- XRP slid 1% to $2.6010 after hitting six-year highs, as speculation grows that the SEC may drop its lawsuit against Ripple under new leadership.
- Solana rose 3.9%, continuing its upward trend, while Cardano fell 5.4%.
- Polygon traded flat.
The crypto market’s focus remains split between Trump’s policy agenda and near-term U.S. monetary cues, both of which are expected to shape the next phase of price movements.
