With the price setback that Bitcoin (BTC) and the Altcoins have had, a key event for their address is approaching. This is the first cryptocurrency summit in the White House, which will take place this Friday, March 7.
The event will feature President Donald Trump as the host. And, among the attendees, there will be businessmen, executive directors and investors of the cryptocurrency industry.
This initiative is part of Trump’s plans to make the United States the “world capital of cryptocurrencies.” In search of that goal, the president reported last Sunday that he ordered his team to advance in the creation of a national cryptoactive reserve, including BTC, ETH, Sun, XRP and ADA.
For the popular Trader Scott Melker, “Trump has launched what could be the most optimistic set of publications in the history of cryptocurrencies.” But, he suggests that The doubts about it are generating concern in the marketwhich perhaps explains the upward reaction that later collapsed.
The so -called cryptocurrency designated by Trump, David Sacks, declared in the social network X that there will be more details about the Trump plan this Friday at the summit, as seen below.
“All that is needed is the correct combination of news on Friday,” Melker argues. It contrasts that “the incorrect combination could easily push the market to a deeper frustration.”
According to Melker, “the market seems to be in limbo.” Therefore, he warns that “Friday will be an important test.”
Now, why is this? The cryptocurrency market is at Merced by TrumpSustains the specialist.
“With a single publication, it can make prices shoot through pure influence on a strategic reserve. But it also has the power to frustrate space and take us along a precarious path, one that could be excellent for investors, but not necessarily in the best interest in the country. ”He deepens.
According to Melker, that is the tightrope that the market is walking at this time. Because? “Trump is taking us along a path that raises many more questions than answers,” he says.
The most important doubt you see is: Congress will approve Altcoins (cryptoactives that are not bitcoin) in the National Reserve?
In addition, another problem that derives is that even Trump supporters, who are totally committed to cryptocurrencies, seem uncomfortable with the inclusion of Altcoins in the reservehe mentions. Different referents have been against it, such as Tyler Winklevos, co -founder of Exchange Gemini, in the following comment.
“Concern is not specifically about XRP, Sun or Ada. It could be changed to any Altcoin, and the debate would still remain. Even Ethereum, despite its strongest history, is not an obvious adjustment for the Nation Reserve. I would need much more conviction. “
Scott Melker, cryptocurrency trader.
In addition, millionaire purchases of BTC and ETH futures have been detected with great leverage hours prior to the Trump announcement, which were then sold in profits. This has generated suspicions of being operations with privileged informationas cryptonotic reports.
“Let’s cross the fingers so that we do not see another round of long or short multimillionaire positions with an absurd leverage appearing only a few hours before an ad, magically positioned for the perfect operation,” says Melker.
Bitcoin is on the tightrope, he says
The Trader recalls that, during Trump’s first presidency, the opposition tried to overthrow it in different ways. He was accused twice, first in 2019 for abuse of power and obstruction of Congress on Ukraine, and then in 2021 for incitement to insurrection after January 6. “On both occasions, the Senate acquitted it,” he says.
“At this time, Trump has the Senate on his side, but the last thing this market needs is another wave of political trial and hearings, especially with cryptocurrencies at the center of everything,” says the specialist.
In such a situation, imagines news with headlines such as “the Department of Justice investigates the participation of the Trump family in cryptocurrencies” or “Trump faces political judgments for fraud and cryptocurrency scams.” It emphasizes that That would not be good for prices.
In fact, it would not be surprising to see something like that, considering that the company World Liberty Finance, administered by Trump’s family, is actively investing in cryptocurrencies. In addition, there are already specialists, such as the famous investor and economist Peter Schiff, who argue that Congress should investigate the possible market manipulation with the president’s plan.
Melker says that, although Trump has already done more for cryptocurrencies than the previous government, that It does not mean that every movement that makes is exempt from risks. Therefore, according to his perspective, “we are walking down the tightrope at this time, one that could take us with the same ease of an ideal result or drag everything directly into hell.”
Meanwhile, BTC quotes around USD 82,000, after erasing the climb it showed after Trump’s announcement to USD 95,000, as the following graph exhibits.
“I am not convinced that Trump is the only narrative for the rest of the cycle, but for now, it is the only game in the city,” Melker culminates. With such scenario, lThe eyes of the market are positioned in the next government movements, such as the White House cryptocurrency summit on Friday.