President Donald Trump’s long-awaited Strategic Bitcoin Reserve is official, but there’s a catch—XRP (XRP-USD) and other altcoins didn’t make the cut. The executive order, signed Thursday, only includes Bitcoin seized from criminal cases, shutting out new acquisitions. That’s not what the market wanted to hear. Coinbase (COIN) CEO Brian Armstrong, Ripple executives, and other crypto leaders have weighed in, with traders scrambling to adjust their bets. According to CoinDesk, traders are rushing to hedge against downside risk in Bitcoin (BTC-USD), Ethereum (ETH-USD), and Solana (SOL-USD), snapping up short-term put options to protect against potential losses. Meanwhile, XRP options have been an exception, showing stronger demand for bullish call options over longer timeframes.
Markets Adjust to Bitcoin-Only Reserve
The absence of new purchases means the reserve serves merely as a strategic stockpile, with no fresh buying pressure on the market. That has disappointed traders, leading to a surge in short-term put options for Bitcoin, Ethereum, and Solana, according to Deribit data tracked by Block Scholes. This reflects growing concerns over near-term price volatility. However, XRP has bucked the trend, with options data showing demand for call options—suggesting traders see upside potential.
Traders Await Clarity from the White House Crypto Summit
Investors are now looking to today’s White House Crypto Summit, hoping for clearer regulatory guidelines. Bitget Research’s chief analyst, Ryan Lee, noted that potential announcements on token classification, tax incentives, and enforcement policies could influence institutional sentiment. Meanwhile, the February U.S. jobs report, also due today, may introduce another layer of market volatility.
Bitcoin Bounces Despite Disappointment
Despite initial disappointment, Bitcoin has already clawed back some losses. After dipping to $84,713 following the announcement, BTC rebounded 4%, trading near $88,982. According to Cointelegraph, seasoned traders see the market’s reaction as overblown, with some analysts calling this a “classic overreaction” before a stronger recovery.
Overall, XRP has stood out as a rare bullish outlier, but the real test will be the outcomes of the White House Crypto Summit. Whether Trump’s policy stance will shift or stay the course remains to be seen.
At the time of writing, XRP is sitting at $2.5086.
