Photo: Dado Ruvic/Reuters
The most popular cryptocurrency Bitcoin has lost more than 6.5% of its value, dropping below $98,000. After the fall, Bitcoin has partially recovered its position and is currently trading at around $99,000, but the overall decline is still over 5%. This was reported by Bloomberg on Monday, 27 January.
The market crash came amid a decree by US President Donald Trump, who ordered the creation of a working group to develop the country’s crypto policy. The newly created group is to present a regulatory framework for digital assets and assess the possibility of creating a national cryptocurrency reserve within six months.
Although the executive order does not guarantee the creation of a bitcoin reserve, the move coincides with Trump’s promises to make the US the world’s cryptocurrency capital. Since his election victory in November 2024, Bitcoin has surged by more than 50%, but the latest news has caused significant volatility in the market.
The digital asset market initially welcomed the decree with enthusiasm, showing modest growth on 24 January. However, further investor doubts about the regulatory changes led to a drop in prices.
Analysts predict that the crypto market will remain in a state of uncertainty until the White House releases details of the new crypto policy.
