Bitcoin Slips Below $100,000 as Traders Take Trump Order Profits

Crypto Market Dips After Trump’s Pro-Bitcoin Agenda

The cryptocurrency market took a breather on Monday, experiencing a pullback after the much-anticipated executive order from President Trump classifying the digital asset industry as a key driver of US innovation. Bitcoin, which had surged ahead of the announcement, dipped below the $100,000 mark, shedding over 4.6% according to Bloomberg data. Altcoins such as Solana adn Cardano, which had also benefited from the positive market sentiment surrounding Trump’s election victory, saw even steeper declines.

issued on Friday, the executive order tasked a working group with forging a regulatory framework for digital assets within six months. It also explored the feasibility of establishing a US-based Bitcoin reserve. While the crypto community largely welcomed the order, it fell short of immediately confirming a government purchase of Bitcoin, a key expectation that had been driving market sentiment.

“Even though the market got 90% of what it wanted with the executive orders, it evidently was mostly priced in,” commented Sean McNulty, head of APAC derivatives at FalconX. He added, “Anything short of a Bitcoin reserve ‘that immediately started buying BTC was going to disappoint.'”

The crypto market had initially reacted positively to the executive order on January 24th, with modest gains. Bitcoin’s value had soared over 50% as Trump’s election victory in November. This upward trend reflects a significant shift in Trump’s stance towards cryptocurrencies, moving from skepticism to embracing the technology during his campaign, partially fueled by ample political donations from the crypto industry.

Trump’s affinity for cryptocurrencies was evident in the days leading up to his inauguration on January 20th. He and his wife, Melania, launched memecoins—highly volatile tokens with questionable intrinsic value—a move that signaled a direct interest in this emerging asset class.

Justin d’Anethan,head of sales at Liquifi,a token launch advisory firm,commented on the market’s current state,saying,”After a string of bullish news…”

Crypto Market Dips After Trump’s Pro-Bitcoin Executive Order

Despite President Trump’s pro-Bitcoin executive order,the cryptocurrency market took a breather on Monday,with Bitcoin dipping below the $100,000 mark. Crypto expert Jonathan Yark, Senior Quant Trader at Acheron Trading, sheds light on the market’s reaction and the key factors driving this downturn.

the market had been buzzing with anticipation for the executive order, expecting a concrete plan for the US to establish a bitcoin reserve. However, the order fell short of these high expectations, leading to a pullback as investors digested the news.

“You’re right, the market had a lot of bullish sentiment priced in,” Yark explains. “The order itself, even though it was largely received well by the crypto community, didn’t instantly deliver on the big expectation: a concrete plan for a US bitcoin reserve. Anything less than an immediate start to purchasing Bitcoin was likely going to disappoint some investors,” explains Yark.

Adding to the volatility, concerns about a chinese-developed artificial intelligence (AI) model possibly disrupting the technology sector sent US stock index futures plunging on Monday. This nervousness has rippled through all markets, including crypto, as investors seek safer havens.

“We’re seeing some concerning ripples from the potential disruption in the tech sector,” Yark notes. “Worries about a Chinese-developed AI model and its impact on traditional technology companies have sent US stock index futures plummeting. This nervousness is impacting all markets, including crypto, as investors look for safer havens at the moment.”

Despite the short-term uncertainty, Yark maintains an optimistic outlook for the long-term prospects of cryptocurrencies.

“The order is a positive step for the industry in the long run, providing regulatory clarity and acknowledging the importance of crypto in the US economy. Though, the short term is highly likely to remain volatile as investors digest the news and react to global market events. Personally, I believe this pullback presents an opportunity for savvy investors to consider…

Cryptocurrency Investing: A Calculated Approach

The cryptocurrency market, known for its volatility and rapid evolution, presents both exciting opportunities and inherent risks. Especially during periods of economic uncertainty, making informed investment decisions becomes paramount. jonathan Yark, a seasoned voice in the crypto space, emphasizes the importance of a calculated approach.”Cryptocurrency investment carries inherent risk, and this period is no different. Do your research, understand the fundamentals, and consider your risk tolerance before making any investment decisions,” advises Yark.

Yark’s words resonate deeply, highlighting the need for due diligence. Before diving into the world of digital assets, it’s crucial to grasp the underlying technology, market dynamics, and potential risks involved.Understanding the fundamentals empowers investors to make more informed choices aligned with thier financial goals and risk appetite.

Diversification, a cornerstone of sound investment strategy, remains equally vital in the crypto realm. Spreading investments across various asset classes, including traditional stocks, bonds, and real estate, helps mitigate risk. While cryptocurrencies offer potentially high returns, it’s essential to remember that they are highly speculative assets.

Yark’s final piece of advice encapsulates the essence of navigating the crypto market: “always approach with a calculated mindset.” This approach involves staying informed, managing expectations, and recognizing that the market thrives on both innovation and speculation. A calculated mindset fosters responsible investment practices, allowing individuals to explore the potential of cryptocurrencies while safeguarding their financial well-being.

What were some of the factors driving the dip in the cryptocurrency market after Trump’s pro-Bitcoin executive order?

Crypto Market Dips After Trump’s Pro-Bitcoin Executive Order

Despite president Trump’s pro-Bitcoin executive order, the cryptocurrency market took a breather on Monday, with Bitcoin dipping below the $100,000 mark. Crypto expert Jonathan Yark, Senior Quant Trader at Acheron Trading, sheds light on the market’s reaction and the key factors driving this downturn.

Archyde: Thank you for joining us, Jonathan. The market was buzzing with anticipation for this executive order. how do you interpret the post-order pullback?

Jonathan Yark: You’re right, the market had a lot of bullish sentiment priced in. The order itself, even though it was largely received well by the crypto community, didn’t instantly deliver on the big expectation: a concrete plan for a US bitcoin reserve. Anything less than an immediate start to purchasing Bitcoin was likely to disappoint some investors.

Archyde: The order did mention exploring the feasibility of a US Bitcoin reserve, suggesting it could come in the future. How meaningful is this development, and does it maintain the market’s longer-term bullish outlook?

Jonathan Yark: It’s definitely a positive step. It signals that the US government acknowledges the importance of crypto in the US economy and is committed to finding a regulatory path forward.The exploration of a Bitcoin reserve, while not immediate, shows a willingness to engage with the technology in a meaningful way. Whether it translates to actual purchasing in the future remains to be seen, but it’s a step in the right direction.

Archyde: We also saw a ripple effect from concerns about a Chinese-developed AI model potentially disrupting tech companies. Has this global uncertainty contributed to the pullback in crypto?

Jonathan Yark: Absolutely. what we’re seeing is a classic case of risk aversion. When investors feel uncertain or threatened by developments in one sector, they often look to safer havens. Crypto, unfortunately, tends to get caught up in those movements, even though it might not be directly related to the original concern.

Archyde: This volatility can be daunting for potential investors. What advice would you give to those navigating this complex landscape?

Jonathan Yark: Cryptocurrency investment carries inherent risk, and this period is no different. Do your research, understand the fundamentals, and consider your risk tolerance before making any investment decisions. Don’t get swept up in hype or fear – stay informed, manage your expectations, and always approach the market with a calculated mindset.

Cryptocurrency Investing: A Calculated Approach