A month after taking office, the "Trump trade" began to be abandoned by traders as the crypto craze faded

ChainCatcher news, according to Jinshi reports, a month after Trump's second term, the excitement from stocks to dollars to Bitcoin is fading. Previously, crypto assets surged as the industry supported Trump, who promised to create a more friendly regulatory environment. However, with not much new development to sustain the bullish sentiment, these gains have weakened.

For example, the establishment of a national Bitcoin reserve promised during Trump's campaign has not materialized, and White House crypto and AI director David Sacks stated this month that an internal working group needs to study the feasibility of the plan. Two months after the election, Bitcoin rose by about 50%. However, after reaching a peak of over $100,000 in January, it has fallen to around $97,000 as of Thursday. Scandals involving meme coins like Libra have also weakened investor interest in cryptocurrencies.

Bitwise Chief Investment Officer Matthew Hougan said, "The atmosphere in the cryptocurrency market is very negative right now."