• Crypto market liquidations hit $1.09 billion in the last 24 hours. 
• Market capitalization is down by more than 10% as major cryptocurrencies bleed. 

The week-long bearish trend in the crypto market reserved yesterday following Trump’s announcement. When he announced new plans to include altcoins such as XRP, ADA, and SOL in the crypto strategic reserve, the market pumped with double-digit price surges. Analysts have already warned that the market overreacted and it didn’t take long for the market to retreat. 

As per the liquidation data from Coinglass, the crypto market liquidations hit the $1.09 billion mark in the last 24 hours. While long positions in the same time frame amounts to $934.05 million, short positions are $153.50 million. Liquidation takes place when traders forcibly close their trading positions in the market. 

After gaining over $340 billion in market cap within a few hours yesterday, the crypto market cap is down by 10%. As a result of Trump’s announcement, the market cap reached a peak of $3.15 trillion. It is now hovering around $2.77 trillion. The overall market trading volume has also dropped to $186.45 billion. 

Trump’s Crypto Reserve Plan Raises Skepticism

US President Donald Trump announced his plans to create a crypto strategic reserve yesterday. His initial plan to create a Bitcoin strategic reserve is now modified as he mentioned that altcoins and other valuable cryptos will be “at the heart” of the reserve. 

Even though the market reacted positively to this announcement, it is now back to base. Bitcoin was trading in the $80K zone in the last week. After Trump’s post on Truth Social, it surged close to $95K level. However, it is currently trading above the $83K mark after falling by 8.40%. 

At this point in time, Trump’s announcements regarding crypto reserve seem more like noise rather than an actual initiative. With no clear timeline set to create one, industry leaders are raising skepticism over crypto strategic reserve plans. 

Former BitMEX CEO Arthur Heyes posted that there is nothing new in Trump’s announcement and it is just words. He even challenged the US government to borrow or revalue gold to actually purchase BTC. Coinbase CEO Brian Armstrong and Gemini co-founder Tyler Winklevoss shared their opinions that only Bitcoin is the most suitable crypto to create a strategic reserve. 

Meanwhile, Peter Schiff called the announcement and market reaction “the biggest rug pull of all time.” He even said that a Congressional investigation is going on to find out real factors behind Trump’s post on Truth Social. No matter the findings, the crypto market is at a loss here with more than $1.09 liquidations. 

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