US President Announces US-Strategic Crypto Reserve

US President Donald Trump has officially announced the start of a US-strategic crypto reserve. This reserve will include XRP, Solana, and Cardano. After the announcement, the President later added Bitcoin and Ethereum to the list of assets within the crypto reserve.

Market Reaction and Bitcoin’s Surge

Following the introduction of the new crypto reserve, the crypto market is experiencing a bullish rally. The BTC price jumped nearly 10% overnight to reach $95,000. Currently, BTC is witnessing a minor intraday pullback, which is creating a retest entry opportunity for traders. Analysts speculate whether Bitcoin will surpass the $100,000 mark after this retracement.

Futures Market Optimism

With the bullish momentum, the derivatives market is becoming optimistic for Bitcoin. The funding rate has risen to 0.0068%, showcasing the eagerness of long-side traders. Moreover, the long-to-short ratio has crossed the equal level, indicating a marked increase in bullish positions. Currently, Bitcoin’s open interest stands at $53.82 billion, reflecting a 4.81% rise in the last 24 hours. The market sentiment is notably positive, indicated by skyrocketing bullish numbers and $242 million in short liquidations, contributing to $348 million in total liquidations over the past day.

BTC Price Movement and Key Levels

The BTC price rejection signals a bullish turnaround, recovering from the $80,000 support level to reach $95,000. The announcement of a U.S. crypto reserve has fueled a new buying frenzy in the crypto market. Presently, Bitcoin trades at $91,752, reflecting a 2.67% intraday pullback; however, the overnight recovery initiates a quick bullish reversal.

Technical Analysis

The MACD and signal lines are nearing a positive crossover, suggesting a shift in momentum. Additionally, the daily RSI line has returned to the midpoint after previously breaching the oversold boundary, hinting at the possibility of testing the $100,000 psychological mark. The crucial resistance for BTC remains at $103,000, followed by the $106,000 supply level. In contrast, significant support levels for Bitcoin are noted at the $86,000 horizontal level and the $80,000 psychological mark.