Bitcoin (BTC-USD) remains under pressure, trading just above $86,000, as investors assess the cryptocurrency market’s trajectory under President Donald Trump’s leadership. According to Scott Melker, host of The Wolf of All Streets podcast, Bitcoin’s recent rally was largely “priced on promises”, and now the market expects policy action to follow.
Key Factors Behind Bitcoin’s Recent Performance
- Regulatory Expectations Under Trump
- Crypto investors had been optimistic about a pro-Bitcoin stance from Trump, fueling part of Bitcoin’s rally.
- However, with no concrete policy changes yet, markets are seeking clarity on regulations, tax treatment, and institutional crypto adoption.
- Macroeconomic Pressures
- Broader market volatility, inflation concerns, and Federal Reserve rate policies continue to impact risk assets, including Bitcoin.
- If interest rates remain high, investors may be less inclined to put capital into speculative assets like crypto.
- Institutional Adoption & Spot Bitcoin ETFs
- The recent introduction of Bitcoin ETFs boosted institutional demand, but the momentum has slowed as investors wait for further inflows and adoption.
- The crypto community is watching how traditional financial institutions engage with Bitcoin under the new administration.
What’s Next for Bitcoin?
Melker suggests that for Bitcoin’s bullish momentum to continue, Trump must deliver on crypto-friendly policies or regulatory clarity. Without meaningful action, Bitcoin could face further volatility, despite long-term optimism about institutional investment and global adoption.
With market speculation shifting to real-world implementation, Bitcoin’s future under Trump’s presidency will depend on whether political promises turn into tangible crypto policies.
