TL;DR:
- Bitcoin’s price reclaimed the $90,000 mark following the peaceful statements regarding Greenland.
- Trump pressured the Federal Reserve to implement immediate interest rate cuts.
- The European Union halted trade negotiations with the US in the face of tariff threats.
President Donald Trump’s intervention at the World Economic Forum in Davos brought relief to the cryptocurrency market. Consequently, the Bitcoin price and Trump’s crypto regulations quickly became a trending topic, as the president confirmed his desire to turn his nation into the world’s cryptocurrency capital during his speech.
Trump’s words provided the momentum for the pioneer crypto to recover the psychological level of $90,000, reversing the bearish trend that had pushed it below $88,000 hours earlier. However, analysts from The Kobeissi Letter warn that this optimistic boost could be a “relief rally” within a deeper cycle of trade tensions.
Despite the initial optimism, the current landscape remains complex due to diplomatic frictions over the Greenland dispute and tariffs. Calm returned to investors due to the dismissal of military force; however, the European Union’s response was decisive, freezing key trade agreements.
Pressure on the FED and the Legislative Future of Cryptocurrencies
During his address, the president did not limit himself to geopolitics; he also sent a direct message to Jerome Powell to reduce interest rates. Trump asserted that the country needs the lowest rates in the world to maintain its competitiveness against other global economic powers.
On the other hand, the urgency to pass the controversial cryptocurrency bill remains a priority on the White House agenda. The president expects the legislation to be signed soon to provide legal clarity to the sector, something that “smart money” is monitoring closely to decide on its next entries.
In summary, the financial sector is cautiously observing whether this rebound to $90,000 has solid fundamentals to be sustained over time. As long as the European Union maintains its firm stance against tariff threats, volatility will continue to be the main protagonist in Bitcoin charts and the stock market.
