Cryptocurrency Market Update

Bitcoin and other altcoins like Avalanche, Dogecoin, and IOTA dropped on Thursday, erasing some gains made after the Fed decision.

Price Changes

• Bitcoin (BTC): Dropped to $84,000 from the week’s high of $87,500.
• Ethereum (ETH): Fell to $1,965.
• Dogecoin (DOGE), IOTA (IOTA), and JasmyCoin (JASMY): Each fell by over 4%.
• Total market cap of all cryptocurrencies: Dropped by 1.5% to $2.74 trillion.

Donald Trump’s Statement

Bitcoin and other altcoins failed to move higher after Donald Trump declared that crypto would expand the dominance of the US dollar. He made the statement in a pre-recorded video for Blockworks’ Digital Asset Summit, a crypto conference in New York City, as he amplified his pro-crypto sentiment.

> WATCH: @POTUS becomes the first sitting president to address a crypto conference:
> “We’re ending the last administration’s regulatory war on Crypto and Bitcoin. That includes stopping the lawless Operation Choke Point 2.0… it was a form of lawfare through government…”
> — Rapid Response 47 (@RapidResponse47) March 20, 2025

These coins dropped because Trump did not mention any concrete policy changes his administration would introduce. Before the statement, there were hopes that he would propose making crypto trading tax-free in the United States.

Administration’s Initiatives

The Trump administration has already taken significant steps for the crypto industry, including:
– Proposing a Strategic Bitcoin Reserve made up of seized coins.
– Signing an executive order creating a crypto stockpile consisting of several made-in-USA coins like Cardano (ADA) and Ripple (XRP).

Most importantly, the Securities and Exchange Commission has ended its legal battles against the crypto industry. Recently, the agency ended its lawsuit against Ripple Labs that had been ongoing for years and other suits against companies like Kraken and Coinbase.

Market Reactions

Bitcoin and altcoins dropped as the market reflected on Wednesday’s Federal Reserve decision. After initially rising, stocks and crypto prices pulled back due to concerns about when the bank will cut interest rates. The Nasdaq 100 and S&P 500 indices dropped by about 0.25% each.

Another likely reason for the drop is that the market is watching the upcoming triple witching event, when options contracts worth over $4.5 trillion will expire. This quarterly event often triggers volatility in the stock and crypto markets.

Conclusion

Ethereum price could crash 25% as on-chain metrics disappoint.