Trump Signs Groundbreaking Crypto Executive Orders

DAILY MARKET OVERVIEW

Big Win For Crypto ❕ 

👋 Hey Crypto Enthusiasts! Today’s highlights include President Trump’s bold crypto policies, a pivotal SEC decision for banks, and Coinbase CEO’s call for governments to adopt Bitcoin as a reserve asset. Let’s dive in!

Trump’s Executive Order Brings Big Changes 🚨

President Trump has signed a groundbreaking executive order that positions the U.S. as a leader in digital finance. The order introduces a clear strategy to foster crypto innovation while ensuring economic security.

Here’s what it includes:

• National Digital Asset Stockpile: The U.S. will create a reserve of digital assets to strengthen its financial resilience and technological edge.

• Federal Crypto Framework: A working group will set up comprehensive rules for cryptocurrencies and stablecoins.

• CBDC Ban: Federal agencies are prohibited from creating Central Bank Digital Currencies, reinforcing support for decentralized crypto.

• Reversing Restrictions: Previous policies that hindered U.S. leadership in blockchain innovation are now overturned.

This order not only clears the path for innovation but also signals America’s intent to dominate the blockchain sector on a global scale.

SEC Gives Banks the Green Light to Hold Crypto 🏦

In a major policy shift, the SEC has finally allowed banks to hold cryptocurrencies for their customers. Previously, under the SAB 121 rule, banks faced heavy restrictions that required them to classify customer-held crypto as liabilities, which discouraged most banks from offering crypto services.

With the introduction of SAB 122, banks can now manage crypto custody more flexibly. Instead of treating customer assets as liabilities, they can focus on safeguarding assets and managing risks like fraud or theft.

This change is a big win for the crypto industry. It means traditional banks can safely offer services like holding Bitcoin, making crypto more accessible to everyday users and institutional clients. As a result, we could see an influx of banks entering the crypto space, further legitimizing digital assets in the financial world.

Coinbase CEO: Governments Should Hold Bitcoin 🌍

Coinbase CEO Brian Armstrong has called on governments to add Bitcoin to their reserves, describing it as “a better form of money” compared to gold.

He pointed to Bitcoin’s unique qualities: Scarcity, Portability and Divisibility, and Transparency:

Armstrong predicts Bitcoin could surpass gold’s $18 trillion market cap within the next decade and urged governments to start by allocating 11% of their gold reserves to Bitcoin.

While some leaders, like South Africa’s central bank governor, have dismissed Bitcoin as a viable reserve asset, the idea is gaining traction in the U.S. States like Wyoming and Texas are introducing legislation to treat Bitcoin as a strategic reserve, and Trump’s executive order aligns with this growing momentum.

These developments show a clear trend: the U.S. is making significant moves to embrace crypto. Trump’s executive order lays a regulatory foundation, the SEC’s policy shift opens doors for traditional banks, and Coinbase’s CEO is sparking a conversation about Bitcoin’s role in global finance.

The crypto world is evolving rapidly, and these changes could reshape the financial landscape. Stay tuned as we bring you more updates!🚀

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SOCIAL SENTIMENT

Altcoins 🤔 

While Bitcoin remains steady, smaller altcoins are facing significant declines, with many experiencing notable drops in value.

However, Donald Trump’s increasing popularity and influence in the crypto space have turned investors’ attention toward his portfolio. Currently, Trump holds investments in ETH, AAVE, ENA, BTC, LINK, TRX, and ONDO.

In addition to these holdings, he has started using Lido (LDO) to stake his Ethereum. Many experienced investors on X, such as Pentoshi, are expressing confidence in Lido’s potential. There’s speculation that BlackRock might adopt Lido as its staking infrastructure, further boosting its appeal. Combined with improved regulatory clarity and Trump’s pro-crypto executive orders, the outlook for Lido appears increasingly promising.

Another noteworthy asset is Chainlink (LINK), a key infrastructure player connecting crypto with traditional finance. With its SWIFT partnership, Trump’s backing, and anticipated announcements in 2025, Chainlink has emerged as a must-watch project for both institutional and retail investors.

Overall, sentiment around Trump-backed coins remains positive, making them worth monitoring closely.

NEWS OVERVIEW

The Latest Crypto Headlines 📰 

Rune Drops 30% as THORChain Halts Lending Services
THORChain suspends THORFi services amid debt concerns, initiating a 90-day restructuring plan. Rune price drops 30% as insolvency fears rise.

Solana Stablecoin Supply Surpasses $10 Billion
Solana stablecoins hit $10.8 billion, driven by Circle’s USDC issuance. Growth aligns with DeFi activity and memecoin trading on the network.

ECB Advocates Digital Euro to Counter U.S. Stablecoins
The ECB emphasizes a digital euro to counter Trump’s push for dollar-backed stablecoins, warning of potential risks to traditional banks.

Vitalik Buterin Warns Against Politician-Issued Coins
Ethereum founder Vitalik Buterin criticizes politician coins as “bribery vehicles,” highlighting risks of corruption and calls for regulatory scrutiny.

YOUTUBE INFLUENCER SUMMARY

Summary From The Top Influencers 📷️ 

Benjamin Cowen - Bitcoin Dominance in 2025 (24.01.2025 Summary)

Benjamin Cowen explains why Bitcoin dominance is a critical metric for understanding the cryptocurrency market. He highlights how Bitcoin's dominance tends to rise during bearish or uncertain times, as investors prefer its relative safety over altcoins. Conversely, altcoins typically outperform Bitcoin in the year after a halving (like 2025), when risk appetite grows.

In 2024, Cowen accurately predicted Bitcoin dominance would reach 60%. He attributes this to altcoin corrections, a larger stablecoin market, and the Federal Reserve's quantitative tightening (QT), which kept money flowing into safer investments like Bitcoin.

For 2025, Cowen advises against assuming Bitcoin dominance will keep rising. While it may drop as altcoins gain attention, a significant decline would likely require the Fed to shift to quantitative easing (QE), which stimulates higher-risk investments. However, QE would only happen if there’s a major economic downturn or alarming data point, like rising unemployment.

Cowen also emphasizes the importance of Bitcoin as a foundational investment. It offers stability and performs well during uncertain times. While some altcoins might outperform in specific conditions, they carry higher risks. He suggests holding a majority of one’s crypto portfolio in Bitcoin and only diversifying into altcoins when conditions strongly favor them.

In summary, Cowen recommends closely watching Bitcoin dominance as a guide to market trends. Be flexible, monitor macroeconomic developments, and adjust strategies as needed. Bitcoin dominance remains a valuable tool for navigating the unpredictable world of crypto.

Josh Olszewicz - Broad Market Review - The Orange Man Cometh (24.01.2025 Summary)

Josh Olszewicz reviews the market with a focus on Bitcoin, altcoins, stablecoins, and broader trends.

Bitcoin Outlook

• Bitcoin is holding steady above $100K. As long as it stays above key levels like the weekly 20-moving average, it looks strong.

• Bitcoin remains dominant, with continued interest in Bitcoin ETFs, far outpacing interest in Ethereum or other altcoins.

• Global liquidity is refueling Bitcoin’s momentum, making it a strong option in the current market.

Altcoins and Stablecoins

• Altcoins are struggling compared to Bitcoin because there is not enough money in the market to support the large number of tokens.

• Stablecoin regulation is important for the market's future. USDC is gaining ground, but USDT could face challenges on U.S. exchanges, creating uncertainty.

• Josh warns against chasing speculative meme coins and encourages focusing on solid trends.

Ethereum and Solana

• Ethereum is underperforming, especially against Bitcoin. High fees and complicated user experiences are pushing people toward alternatives.

• Solana is growing in popularity because it is simpler to use, despite its decentralization and infrastructure issues.

Broader Market Trends

• Regulatory clarity is needed for DeFi and tokens to perform better. Without it, they will likely continue to struggle.

• Stablecoin supply is an important indicator of market health. Increasing supply could signal more bullish trends.

• Josh advises patience and focusing on clear, high-conviction opportunities rather than trading on hype.

Final Thoughts: Josh recommends sticking with Bitcoin as the safest investment. Altcoins may perform well selectively, but timing and selection are critical. Patience and strategic decision-making are key to navigating uncertain markets. Stay aware of macroeconomic changes and evolving regulations.

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