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The long-awaited moment has arrived: President Donald Trump is back in power and has delivered his first inauguration speech. The cryptocurrency market has had a turbulent 24 hours. Bitcoin surged to $106k, seemingly poised to break new all-time highs, only to fall back below $100k before sending to new all time highs. Adding to the excitement, Melania Trump followed in her husband’s footsteps, launching her own meme coin, MELANIA.
As anticipation for the inauguration grew, Bitcoin experienced a major reversal, ultimately reaching a new all-time high. The cryptocurrency rallied 10%, topping out at $109,951. Ethereum followed suit, climbing to over $3,450—a near 10% increase from its daily low.
Speculation had been mounting that Trump might address cryptocurrency or the much-discussed Strategic Bitcoin Reserve. Polymarket, the popular prediction market platform, saw odds of Trump creating a Bitcoin reserve within his first 100 days rise to 55%, further fueling bullish sentiment across the crypto sector. With market conditions looking promising, hopes were high.
However, when Trump took the stage, he made no mention of cryptocurrency or Bitcoin. The lack of acknowledgment sent Bitcoin back down, with the price dropping back below $102k almost immediately. Polymarket’s odds for the creation of a Bitcoin Strategic Reserve fell sharply to 39%, a bearish indicator for Bitcoin’s outlook. Additionally, the highly anticipated pro-crypto executive order remains unsigned, with expectations now shifting to the early days of his administration.
While a Trump presidency is widely seen as positive for Bitcoin and crypto in general, the market's reaction to his speech has raised concerns. The sell-off, triggered by the absence of crypto-related commentary, underscores the influence Trump’s statements—or lack thereof—can have on market sentiment. If simply avoiding the topic causes such volatility, one can only imagine the impact when he eventually does address Bitcoin, whether positively or negatively. His influence could be unlike anything the market has seen before.
Stormrake Spotlight: Trump (TRUMP) ($34.20)
Stormrake Spotlight: Trump (TRUMP) ($34.20)
The TRUMP coin has continued its downward trend, now trading 50% below its recent highs. While it saw a brief rally leading up to the inauguration, the subsequent Bitcoin sell-off dragged TRUMP even lower.
BTC/USD Key Levels and Price Action:
BTC/USD Key Levels and Price Action:
Bitcoin’s wild price swings are evident. After rallying to $106k, it retraced to the critical $100k support level before surging to a new all-time high of $109,951. Following Trump’s speech, the lack of crypto-related commentary led to a rapid sell-off. Bitcoin has not only fallen below the key $104k level but is also on the verge of a bearish crossover between the 21 EMA and 55 EMA—a potential signal of further downside. The next significant support level is $100k. For bulls to regain control, Bitcoin must reclaim $104k.
BTC Total ETF Flows for 20 Jan: $ (data not available)
(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)
ETH/USD Key Levels and Price Action:
ETH/USD Key Levels and Price Action:
Ethereum mirrored Bitcoin’s price movements, rallying sharply before entering a correction. It remains in a consolidation range between its recent high of $3,426 and the lower boundary near $3,200. A breakout from this range is needed to determine Ethereum’s next directional move. For now, the price action remains range-bound.
ETH Total ETF Flows for 20 Jan: $ (data not available)
(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
*All prices are denominated in USD unless stated otherwise*
Written by Alexandar Artis
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