Key Points:
- Bitcoin fell 4.1% in one hour, dropping below $90,000, with total liquidations exceeding $114 million.
- In the last 24 hours, 238,726 traders were liquidated, totaling $1.08 billion in liquidations.
- Trump's announcement of a U.S. Crypto Strategic Reserve initially drove Bitcoin's price to $95,000 before stabilizing at $93,000.
The sharp decline led to over $114 million in liquidations, with a total of $1.08 billion liquidated across the market in the past 24 hours.
The largest single liquidation order occurred on Binance, where a BTC/USDT trade worth $15.49 million was closed, according to Coinglass data.
Trump’s Crypto Reserve Sparks Market Volatility
On Sunday, President Donald Trump announced via Truth Social that his administration would move forward with establishing a U.S. Crypto Strategic Reserve, which would include Bitcoin, Ethereum, XRP, Solana, and Cardano.
Following the announcement, Bitcoin surged from $85,000 to nearly $95,000 before stabilizing around $93,000. Meanwhile, Cardano (ADA) and XRP saw price increases of 40% and 16%, respectively.
Analyst Predicts Bitcoin at $500,000 by 2028
Geoff Kendrick, Head of Digital Asset Research at Standard Chartered, highlighted Bitcoin’s strong price reaction to Trump’s proposal.
He believes the market sentiment has shifted from "selling rallies" to "buying dips", reinforcing his long-term Bitcoin price target of $500,000 by 2028.
In an investor note, Kendrick outlined his price projections:
- $200,000 by end of 2025
- $300,000 by end of 2026
- $400,000 by end of 2027
- $500,000 by end of 2028, maintaining this level through 2029
State-Level Bitcoin Reserves and Market Outlook
Kendrick also suggested that Trump’s Crypto Reserve initiative could encourage U.S. states to develop their own Bitcoin reserve programs, possibly matching the federal government’s estimated 200,000 BTC holdings.
The timing of Trump's announcement, just days ahead of the White House Crypto Summit on Friday, has increased expectations for new policy developments.
Despite Bitcoin’s worst monthly performance since June 2022, Kendrick noted that the weekend saw the strongest price movement since January 2021. He compared the shift in market sentiment to a "Trump put", similar to the Federal Reserve’s intervention in traditional markets to prevent major downturns.
