Trump and cryptocurrency are two sides of the same coin

Everyone is talking about Trump and Bitcoin. But few can view these two sides objectively.
Today, let's do an in-depth analysis

Why is Trump beneficial to cryptocurrencies?

Top-level pro-crypto remarks
Trump publicly claims to be a supporter of Bitcoin, promising to make the U.S. the "world's crypto capital," and has signed a series of executive orders favorable to the industry. This creates a positive narrative atmosphere, attracting institutional capital inflows.

Regulatory pressure eased
During Biden's administration, the SEC (U.S. Securities and Exchange Commission) was almost at odds with the crypto market. Trump replaced the leadership of regulatory agencies and adopted a more moderate regulatory approach. For exchanges, projects, and investors, this is undoubtedly a long-awaited breather.

Building Bitcoin strategic reserves
The idea of establishing a national Bitcoin reserve, if ultimately realized, would set a historic precedent. It would legitimize Bitcoin at the national level and inject strong momentum into the entire market.

Weak dollar = Strong Bitcoin
Trump's policies have historically tended to increase national debt and weaken the dollar. According to historical patterns, this drives investors toward alternative assets like gold and cryptocurrencies.

Why is Trump detrimental to cryptocurrencies?

Unpredictability and sharp volatility
A single tweet or statement can cause the market to plummet by 10%. Trump is inherently unpredictable, and any political upheaval he triggers will quickly elicit reactions from the crypto market.

Trade war impacts the entire market
Tariffs, sanctions, trade conflicts—all can trigger risk-averse sentiment in the market. When investors feel fear, they tend to withdraw from risk assets, and cryptocurrencies are often among the first victims.

Personal interests = conflicts of interest
Trump and his family have launched their own crypto projects (e.g., meme coins, NFTs). Policies that benefit his personal assets may not be beneficial for the entire market. This constitutes a serious conflict of interest.

Geopolitical uncertainty intensifies
Trump's aggressive foreign policies can trigger global uncertainty. Although cryptocurrencies are often described as "digital gold," they still largely exhibit the characteristics of risk assets during turbulent times.

So, what is the core message I want to convey?

For the crypto market, Trump is neither entirely good nor entirely bad.
He represents volatility. For traders, this means opportunities. For long-term investors, it adds an extra risk factor to consider.

Cryptocurrencies have weathered many storms and can survive any presidential term. The key question is: what path will this cycle take?