Key Takeaways
- White House to hold Crypto Summit with industry representatives at the end of this week.
- US dollar tumble, falling for three consecutive days after growth expectations in Q1 have fallen off a cliff.
- Bitcoin reclaims key level, but there is more work to do for the bulls.
This is setting up to be one of the more significant weeks for the crypto markets in 2025, with some much-needed clarity potentially on the horizon.
At the end of this week, the White House will be hosting a Crypto Summit with key industry leaders. Donald Trump took to social media on the 3rd of March advocating for the Crypto Strategic Reserve. He name-dropped BTC, ETH, SOL, XRP and ADA. While there has been no official documentation, it’s expected that this Summit will uncover more details. Â
This announcement boded well for markets, with ADA experiencing a +50% rally shortly after. SOL and XRP also saw double-digit gains in the hours after this announcement. Â
While there are details lacking on how this Reserve will be allocated and funded – further clarity on these points may give investors something to cheer about. Particularly if the US were to announce details on how they would go about acquiring these assets.
This end-of-week announcement could stir things up. Like everyone else, we’re eagerly waiting to see what unfolds. Below is a purported list of attendees so far:
US dollar slides
A storm has kicked off on the US dollar, with its purchasing power plummeting for the last three days. This comes after forecasts from Atalanta Fed’s GDPNow metrics show that Q1 growth figures have literally slid off a cliff. At the start of February, estimates sat at +2.9% growth for Q1, but after recent economic data releases from the manufacturing sector, this quarterly growth expectation has sunk to -2.8% this week.  Â
Trade wars & tariffs also continued to spook the markets earlier this week, but in true fashion from the current US administration, nothing is as it seems. After reinstating tariffs against Mexico and Canadian imports, there is already chatter of revisions for some carmakers according to US Commerce Secretary Howard Lutnick.  Â
We all continue to feel the whiplash from this aggressive yet hot-and-cold posturing from the US. Tariffs have already once been actioned and delayed at the start of February.
Understandably it’s got us all thinking, what is the real game being played?
Historically, the US dollar losing strength has provided ideal conditions for crypto assets to move higher, as they are fundamentally traded in US dollar pairs. This is why continued weakness in the US dollar might give us some more clarity into how crypto could continue to perform better.
Bitcoin analysis
Bulls are gaining momentum, reclaiming the middle of the Bollinger Bands. This suggests the market is moving back toward a relative premium, showing some conviction. However, a clear trend higher has yet to emerge.
Bullish scenario
Bulls continue to step in and keep the price in the upper half of this band over the coming days. This could then mean a move to the yearly open of US $93,500.Â
Bearish scenario
Prices failing to maintain this trend could result in BTC dropping back below the March open and could even test below US $80,000.
💱 Swyftx Flows
The buy-to-sell ratio for unique Swyftx orders is nominally >$20,000 AUD (rolling data over the last 7 days, captured at 09:00 am AEST).
Disclaimer: The information on Swyftx Learn is for general educational purposes only and should not be taken as investment advice, personal recommendation, or an offer of, or solicitation to, buy or sell any assets. It has been prepared without regard to any particular investment objectives or financial situation and does not purport to cover any legal or regulatory requirements. Customers are encouraged to do their own independent research and seek professional advice. Swyftx makes no representation and assumes no liability as to the accuracy or completeness of the content. Any references to past performance are not, and should not be taken as a reliable indicator of future results. Make sure you understand the risks involved in trading before committing any capital. Never risk more than you are prepared to lose. Consider our Terms of Use and Risk Disclosure Statement for more details.
