The last 24 hours have been a whirlwind that could change up the playbook. Bitcoin (BTC-USD) and its crypto comrades like Ethereum (ETH-USD) and Ripple (XRP-USD) saw their fortunes soar. This surge came hot on the heels of President Donald Trump’s bombshell about including these digital darlings in the U.S.’s strategic crypto reserve. According to Amberdata, this announcement has sparked a frenzy in the crypto market, particularly with Bitcoin call options targeting the elusive $100K mark.
“Today Trump signaled there is a Trump put on crypto. This is good enough for a trend change, particularly given how BTC blasted through resistance with sentiment among many at all-time lows,” trader and analyst Alex Kruger exclaimed on X. Market watchers like Josh Gilbert from eToro also chimed in via email to CoinDesk, highlighting the potential new normal of market support under Trump’s watch.
Optimism Swells in Options Market
With Bitcoin’s price peaking over $95,000, options traders are not just optimistic but are doubling down on their bets. Amberdata reports a significant uptick in open interest for $100K strike calls, suggesting that high rollers in the crypto world are betting big on continued gains.
“This upcoming week will have interesting ‘Buy the rumor / Sell the news’ dynamics around the March 7th crypto summit,” noted Greg Magadini, director of derivatives at Amberdata, in an email. The skew data, bouncing back from negative to neutral, further underlines this bullish sentiment, indicating a strong demand for calls over puts.
Challenges Loom on the Road to Reserve
Despite the market’s bullish tilt, not everyone is ready to pop the champagne. Arthur Hayes, chief investment officer at Maelstrom Fund, pointed out on X the hurdles still facing the crypto reserve, such as Congressional approval. “Nothing new here. Just words. Lmk when they get congressional approval to borrow money and or revalue the gold price higher. Without that, they have no money to buy bitcoin and shitcoins,” Hayes remarked, tempering the excitement with a dose of reality.
Similarly, Mark Hiriart from Zerocap voiced concerns over execution and potential government overreach, hinting at a bumpy ride ahead. “While institutions may rush in, unclear regulations and macroeconomic conditions could determine whether this rally sticks,” he explained in an email to CoinDesk.
As the crypto community gears up for the upcoming White House Crypto Summit, the crypto markets may incur price changes depending on what is announced at the summit. As a result, it’s important for investors to stay informed on how crypto prices change by tracking them on the TipRanks Cryptocurrency Center.
