Bitcoin reversed course on Monday after an initial surge following US President Donald Trump’s weekend proposal to create a national strategic reserve of cryptocurrencies.
Optimism surrounding Trump’s announcement on Truth Social turned to caution as investors awaited further details on the initiative.
The world’s largest cryptocurrency climbed 2.4% from Friday to $86,292, but dropped 8% from Sunday’s high. Trump’s executive order in January laid the groundwork for the reserve, but Sunday’s post was the first time he confirmed that bitcoin, ether, XRP, Solana, and Cardano would be included.
“Bitcoin and ether will be at the core of the reserve,” Trump wrote — a statement that initially sent bitcoin soaring nearly 20% from November lows before the pullback.
Other cryptocurrencies followed a similar pattern:
- Ether fell 4.3% from Friday to $2,127.10, down 16% from Sunday.
- XRP tumbled 15% from Sunday to $2.48, despite a 25% jump from Friday.
- Solana slipped 16% from Sunday to $148.89, but remained 1.6% higher than Friday.
- Cardano plunged 19% from Sunday to $0.8940, down 3% from Friday.
Crypto investor Anthony Pompliano, CEO of Professional Capital Management, criticized the plan in a letter to clients, calling it an “unforced error” that would enrich insiders at the expense of taxpayers.
“Even though Solana is our second-largest crypto position, I still believe a wide-ranging crypto reserve is a mistake that will be regretted,” Pompliano wrote.
The Winklevoss twins, founders of Gemini exchange, echoed similar concerns on X (formerly Twitter), saying bitcoin alone meets the standard for a reserve asset — unlike the other cryptocurrencies listed by Trump.
