Donald Trump’s re-election in November 2024 proved to be a formidable bullish catalyst for the cryptocurrency market, because it swiftly led to a rally for a lot of digital property. This rally generated 11,000 new Bitcoin (BTC) millionaires and enabled BTC to achieve above $100,000, finally hitting its intraday all-time excessive (ATH) of over $109,000.
Donald Trump’s precise presidency had the other impact, because it led many cryptocurrencies decrease as they started following different danger property of their downturn amidst the rising financial uncertainty.
Certainly, when the billionaire took workplace, the full digital property market capitalization stood at $3.46 trillion – roughly $210 billion above the January 1, 2025, valuation – and, by press time on April 21, it collapsed to $2.7 trillion.
In whole, cryptocurrencies erased about $760 billion within the three months since Trump grew to become president.
Crypto market defies bullish developments
The steep decline unfolded in defiance to the bettering regulatory local weather since, whereas digital property had been collapsing, the Securities and Change Fee (SEC) deserted a number of instances focusing on the business, the Inside Income Service (IRS) eliminated its crypto rule, and the Division of Justice (DoJ) disbanded its specialised activity pressure.
The downturn concurrently strengthened and highlighted the rising hyperlink between digital property and different danger property, comparable to shares, whereas undermining the long-speculated similarities between Bitcoin and gold.
Certainly, whereas BTC is down 6.53% in 2025, gold has soared to new all-time highs above $3,400 and is up 30.20% since January 1.
Nonetheless, the newest developments reignited the hopes in a continued bull cycle as, over the Easter weekend, Bitcoin rallied to $87,379 and, within the final 24 hours, the full cryptocurrency market capitalization climbed $55 billion from $2.65 trillion to $2.7 trillion.
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