😎 Donald Trump is set to speak at the Bitcoin 2024 conference in Nashville and the market is already abuzz. Bitcoin is now trading at $67,108, up 6.5% from its July 25 low, according to Cryptovizor. It seems that the first cryptocurrency has won back most of last week's losses. 📈
Traders go long
Futures traders are leaning toward long positions in anticipation of Trump making major announcements. Nobody wants to go short before the weekend. 🧐 As Markus Thielen, CEO of 10x Research, noted, everyone is expecting Trump to announce the creation of a strategic bitcoin reserve if he becomes president. This can cause the price to skyrocket, and no one wants to miss out on that opportunity. 💰
The data speaks for itself
According to CoinGlass, futures traders' positions are heavily skewed toward long positions. Even a small decline to $65,000 could put $1.11 billion worth of long positions at risk. 💣
Politics and crypto
Thielen noted that Trump is likely considering the influence of the crypto lobby, which has raised $150 million for the Crypto Super PAC. This is a political committee created to support candidates who advocate favorable regulation of cryptocurrencies. 🏛️
#Bitcoin #BTC #Green_lamp $BTC
Interestingly, the US Treasury Department has $600 billion in gold reserves, and the government has seized $15 billion worth of Bitcoin. Thielen suggests that Trump could increase this ratio to 10% of gold reserves or even higher. Such a statement could cause a strong market reaction without waiting for the November elections. 📊
Reserve asset? Maybe!
Brian Courchaine, an asset manager, said the adoption of Bitcoin as a reserve asset is possible, although difficult. The Justice Department could transfer confiscated bitcoins to the Treasury Department, allowing the accumulation and storage of this scarce asset over the long term. 🏦