On Friday, March 7, 2025, cryptocurrencies stumbled despite President Donald Trump’s Thursday executive order launching a Strategic Bitcoin Reserve. Bitcoin (BTC) shed 2% to $87,000, per Coin Metrics, after a 5% Thursday night dip post-announcement. Ether (ETH), XRP, Solana’s SOL, and Cardano’s ADA also sagged—off lows but stung by exclusion from the reserve’s core. Markets hoped for a bold BTC buying plan; instead, the order leans on 198,000 seized coins ($17 billion worth) and skips immediate purchases, dimming the hype as Trump’s first White House Crypto Summit looms today.
Reserve Details: Seized BTC, No New Buys
White House Crypto Czar David Sacks clarified on X that the reserve taps Bitcoin from past law enforcement hauls—ensuring “no taxpayer dime” is spent—while a separate Digital Asset Stockpile holds other forfeited cryptos (e.g., 56 ETH worth $119 million, per Arkham). No XRP, SOL, or ADA specifics surfaced, despite Trump’s Sunday Truth Social tease of a multi-coin reserve. The order bans BTC sales, locking it as a “permanent store of value,” and tasks Treasury and Commerce with “budget-neutral” acquisition ideas—no timeline given.
“Investors wanted near-term buy pressure,” Steven Lubka of Swan Bitcoin told CNBC, explaining the sell-off. Rachel Lin of SynFutures added, “Lack of new demand and uncertainty about future actions cap any rally—prices may stabilize unless a catalyst hits.” X posts groaned, “No buying schedule? Lame—BTC needs a jolt.”
Market Reaction: Tariff Gloom Trumps Crypto Cheer
The order’s restraint—contrasting Trump’s campaign vow of an “aggressive” reserve—landed amid a brutal week. Tariff fears (25% on Canada/Mexico, 10% on China) and inflation jitters sank equities (Nasdaq off 4% since Monday) and crypto alike—Bitcoin’s earlier $90,000 bounce faded. “It’s good news, but not what the market craved short-term,” Lubka said. TD Cowen’s Jaret Seiberg noted, “This isn’t the big reserve some pushed for—it’s just keeping crypto instead of cashing out. Still, it’s a White House nod to digital assets.”
Treasury Secretary Scott Bessent, on CNBC’s “Squawk Box” Friday, framed it as step one: “Stop selling first, then plan accumulation. Today’s Summit will map the way forward.” Treasury has 60 days to assess if Congress must greenlight parts of the order—a potential snag.
Crypto’s Bigger Picture in 2025
Bitcoin’s $87,000 perch—down from a $95,000 Sunday peak—teeters below the $90,000 line analysts call pivotal; a drop to $70,000 looms if it cracks. Altcoins, snubbed by the BTC-only reserve, lag: ETH’s at $2,100 (off 15% Monday), SOL and ADA nurse double-digit weekly hits. JPMorgan’s Wednesday note warned of “no big move higher” soon, citing economic clouds over crypto catalysts. X users debate, “$17B in BTC is cool, but tariffs could tank it all.”
Summit Spotlight: What’s Next?
Today’s Crypto Summit—featuring Coinbase’s Brian Armstrong and MicroStrategy’s Michael Saylor—could shift the narrative. Armstrong’s pushing stablecoin laws; Bessent hints at bolder BTC plans. With Tesla’s $800B wipeout and Broadcom’s AI chip pop, crypto’s tied to tech’s wild 2025 ride. Will the reserve grow beyond seizures, or stall under tariff weight? Friday’s talks—and Trump’s next move—hold the keys. Stay tuned for live Summit fallout!
