Bitcoin Superpower Part on Hold After Trump Return
Trump, re-elected in late 2024, campaigned on an “America First” agenda, promising to revive the economy, create jobs, and reduce living costs through tariffs and tax reforms.
Cryptocurrencies were widely seen as potential winners during his second term. On March 6, 2025, he signed an executive order creating a Strategic Bitcoin Reserve and a US Digital Asset Stockpile, declaring his ambition to make the United States the world’s Bitcoin superpower.
The announcement, coupled with interest rate cuts by the Federal Reserve, propelled Bitcoin to a record $126,199 and lifted Ethereum to $4,956. But global uncertainty tied to Trump’s trade and monetary policies soon triggered heavy selling.
Bitcoin, which broke above $100,000 in January, slipped into a downtrend by February. It fell below $80,000 in March before rebounding past $100,000 in May after a temporary 90-day tariff truce with China. By November, renewed caution over Fed rate cuts and concerns about overheated tech stocks dragged the cryptocurrency back under $85,000.
On Jan. 20, 2025, the day Trump took office, Bitcoin closed at $103,644. By year’s end, it hovered near $90,000 — well below its peak.
Analysts: Metals Outshine Digital Assets
“Bitcoin has strong potential in 2026, but precious metals are in way,” said Uraz Cay, global markets strategist at Turkish broker AK Yatirim, speaking to media. He noted Bitcoin remains below its January 2025 level despite trading about 35% higher than in November 2024, and roughly 27% under its October 2025 record.
“Despite Fed rate cuts in 2024 and 2025, the Trump administration’s positive steps for the crypto market, and the emergence of more crypto-based instruments within the financial system, we reached a point below the return levels that investors are used to seeing in past crypto bull markets,” he said.
"Bitcoin's prevalence in institutional investor portfolios has yet to increase as much as expected, while digital gold's performance surpassed real gold, and the stablecoin world became a new source of debt for the US, leading to geopolitical risks to spill over into the crypto market," he added.
Cay emphasized that Bitcoin’s declining correlation with other assets signals diversification potential, but precious metals remain dominant. “Since the most crowded trades in portfolios are in precious metals, digital gold has yet to come into play as real gold rose and continues to rise,” he said.
Despite a drop in October 2025, Bitcoin spot ETF assets still totaled about $125 billion. “Bitcoin has strong potential this year, but precious metals steal the spotlight,” Cay said.
Correction Could Revive Crypto
Cay pointed to the Nasdaq 100’s string of record highs, noting its performance outpaced Bitcoin relative to their peaks. "The Bitcoin-Nasdaq 100 correlation is also below the level of previous years, so it would make more sense to focus on the Bitcoin-Gold correlation than the one with the Nasdaq 100," he said.
"The Bitcoin-Gold ratio tested above the 40 level in December 2024, while currently standing at below 20-both gold and silver ended last year with their best returns since 1979, starting the new year strongly."
"It may make more sense to think that a group of investors who cannot drop precious metals are showing less interest in Bitcoin, instead of drawing a parallel between tech stocks and Bitcoin-with this mindset, a potential correction in precious metals may reignite the investor interest in Bitcoin," he added.
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