ChainCatcher news, QCP Capital's latest analysis points out that Bitcoin has fallen below $100,000 along with other risk assets, mainly influenced by the ongoing fallout from Deepseek-related news since the weekend. The analysis suggests that Deepseek's breakthroughs in cost efficiency and open-source technology may pose a threat to the United States' AI dominance. Trump has previously successfully used tariffs to force Colombia to accept the repatriation of immigrants, and the market is paying attention to the measures he may take in response to AI competition. QCP Capital states that Bitcoin is unlikely to break through the current range until a national strategy for Bitcoin reserves is confirmed. The Trump administration's assessment of "national digital asset reserves" has not been sufficient to maintain market optimism. The options risk reversal indicator shows that bullish sentiment is concentrated after March. As Deepseek poses a threat to the U.S. market, Trump may take action to stabilize the market. Ahead of the January 30 FOMC meeting, market volatility and VIX remain high, but QCP Capital expects Bitcoin to maintain relative resilience.

ChainCatcher news, Derive founder Nick Forster stated in an analyst report on January 25 that the Trump administration's executive order is focused on assessing digital asset reserves rather than concentrating on a strategic reserve of Bitcoin, which has suppressed short-term bullish expectations for Bitcoin. "The market believes that the upside potential for this asset is limited in the short term, possibly due to the lack of a specific BTC reserve announcement."Forster pointed out that on January 24, 83.3% of the Bitcoin options contracts on the Derive platform were "call options sold," indicating expectations that Bitcoin prices will remain stable or decline. He said, "Without practical measures like establishing a national reserve, the market will not buy it."

ChainCatcher news, Riot Platforms Vice President of Research Pierre Rochard pointed out that the biggest obstacle to the Bitcoin Strategic Reserve (SBR) plan does not come from the Federal Reserve, the Treasury, banks, or Elizabeth Warren, but from Ripple/XRP. Ripple is spending millions of dollars on lobbying efforts to try to obstruct the advancement of the U.S. Bitcoin Strategic Reserve (SBR) plan.Ripple CEO Brad Garlinghouse countered that the company's actions are actually increasing the likelihood of implementing a strategic reserve that includes Bitcoin, aligning with Trump's campaign promise to support American businesses and technology. Pierre questioned whether Garlinghouse himself genuinely holds XRP, implying that he is only selling the tokens. Pierre also pointed out that Ripple had previously targeted the Bitcoin mining industry during the Biden administration using similar tactics, aiming to promote a CBDC based on its platform.

ChainCatcher news, Bitcoin mining company MARA Holdings CEO Fred Thiel stated on the X platform that they are working to bring their strategic Bitcoin reserve plan to all 50 states and the federal government in the United States.

ChainCatcher news, according to Cointelegraph, Moneycorp's Head of Trading and Structured Products Eugene Epstein stated in an interview: "We have experienced cyclical bull markets in cryptocurrency before, but I remember this is the first time the hype is really happening at the government level. So far, there has just been a lot of talk, but in terms of acceptance, this is still the furthest cryptocurrency has ever gone."The United States is already the largest sovereign holder of Bitcoin, primarily from judicial seizures. According to data from Bitbo, the country holds over 200,000 Bitcoins, equivalent to nearly $22 billion.Epstein noted that trading in the cryptocurrency market is based on the expectation that the U.S. will make significant purchases in the future. The market has already priced in the large-scale purchases of cryptocurrency by governments at all levels in the U.S., and if those expectations are not met, there could be a pullback: "Unless some kind of state-level program really starts to be implemented, I find it hard to see the market go up; I expect this will be led by the Treasury."

ChainCatcher news, the CEO of the cryptocurrency data analysis platform CryptoQuant, Ki Young Ju, stated on social media that although he is not a Bitcoin extremist, he believes that the U.S. strategic digital asset reserve plan is too broad and suggests retaining only Bitcoin.

ChainCatcher news, Trump publicly supports the Bitcoin reserve plan, pushing the U.S. government to accumulate Bitcoin as a strategic asset. The plan has received support from political figures including Porter and Lummis, and has sparked bipartisan interest. Trump's endorsement gives political momentum to this previously marginalized concept, marking a watershed moment in the cryptocurrency market.California Democratic Congressman and Wyoming Republican Senator propose to include Bitcoin in the U.S. reserve assets, partially relying on America's gold reserves. However, critics argue that this could reinforce the U.S. financial dominance and pose a challenge to the decentralized nature of Bitcoin. Nevertheless, supporters believe this initiative helps address the debt crisis and promotes global financial innovation.

ChainCatcher news, IMF spokesperson Kozak stated that the use of Bitcoin as legal tender in El Salvador will be voluntary when asked about it. The agreement reached between the IMF and El Salvador aims to mitigate potential Bitcoin risks based on the IMF policy framework. Furthermore, Kozak declined to comment on Trump's U.S. strategic Bitcoin reserve plan, stating that a comprehensive assessment will be conducted when the policy is implemented.

ChainCatcher news, Bitwise Chief Investment Officer Matt Hougan recently stated that the U.S. Bitcoin strategic reserve plan could push BTC up to $500,000."If this happens, or if we start to see this happening in other countries, then you will see BTC rise significantly, making the performance in 2024 seem quite modest by comparison."

ChainCatcher news, according to Bitcoin.com, BTC Inc. CEO and Trump campaign advisor David Bailey revealed that four countries have approved a strategic Bitcoin reserve plan, but did not disclose the specifics of these measures or the names of the countries involved.Bailey hinted that a group of Bitcoin-holding countries may be organized in the future, similar to today's traditional international organizations, such as the G7. Bailey emphasized that the scarcity of Bitcoin and global demand will drive competition among countries for Bitcoin.Although no country has officially announced related measures at this time, the United States and Brazil have begun to advance relevant regulations to lay a legal foundation for strategic Bitcoin reserves.

ChainCatcher news, according to Bloomberg, former U.S. Treasury Secretary Lawrence Summers dismissed the idea of the government establishing a Bitcoin asset reserve, calling it "too crazy" and merely catering to special interest campaign donors.During his campaign, Trump proposed that the government retain tokens, and his allies wanted to scale up to reduce the national debt, as well as appoint a cryptocurrency supporter as the SEC chairman. Summers also stated that Musk's plan to cut $2 trillion in spending is politically very difficult to achieve.

ChainCatcher news, according to Cointelegraph, at the 2024 North American Blockchain Summit held in Dallas, Texas, the chairman of the nonprofit think tank (Avik Roy) stated on stage: "When Wyoming Senator Cynthia Lummis talks about how a Bitcoin strategic reserve plan could help us eliminate federal debt, it is an overstatement of what Bitcoin can actually do.If the U.S. were to purchase a 'massive' amount of Bitcoin and appreciate its value, it might help, but it does not address the $35.46 trillion debt issue that has been growing almost exponentially since the 1980s."

ChainCatcher news, according to Coindesk, Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), reiterated in an interview with CNBC that Bitcoin is not a security, and investors can now express their views on Bitcoin through ETF products.Gensler declined to comment on the Bitcoin strategic reserve plan proposed by Trump, citing his responsibilities and the election season as reasons. He insisted that existing laws grant the SEC the authority to regulate the cryptocurrency space, stating that "disliking the rules does not equate to having no rules." Gensler also pointed out that the cryptocurrency industry faces challenges in building trust, as several industry leaders have gone to jail or filed for bankruptcy. He emphasized that without investor protection and trust building, it is difficult for the innovation sector to survive.

ChainCatcher News, U.S. Senator Cynthia Lummis's new strategic Bitcoin reserve plan will provide partial funding for cryptocurrency purchases by revaluing the gold certificates held by the Federal Reserve System.The plan requires setting aside $6 billion from any net profits transferred from the Federal Reserve to the Treasury from fiscal year 2025 to fiscal year 2029, and reducing the discretionary surplus funds of the Federal Reserve Banks from $6.825 billion to $2.4 billion, which is the level currently mandated by the Federal Reserve Act.According to the plan, within six months of the legislation taking effect, the Federal Reserve Banks will submit all outstanding gold certificates to the Secretary of the Treasury. Within 90 days thereafter, the Secretary of the Treasury will issue "new gold certificates reflecting the fair market price of gold" to the Federal Reserve Banks. The Federal Reserve Banks will then transfer the cash value difference between the old certificates and the new certificates to the Secretary of the Treasury.According to the bank's recent balance sheet update, as of July 24, the Federal Reserve Banks hold $11 billion in "gold reserves." This valuation may be based on the official U.S. book value used by the New York Federal Reserve Bank to assess its gold, which is $42.22 per troy ounce.

ChainCatcher news, friendly U.S. Senator Cynthia Lummis posted on X platform stating that the U.S. national debt has reached $35 trillion, and Bitcoin's strategic reserve can stop this out-of-control train.This week, U.S. national debt has surpassed $35 trillion for the first time. According to the Congressional Budget Office, as spending and interest expenses grow beyond tax revenue, the national debt is projected to reach $56 trillion by 2034.

ChainCatcher news, Senator Lummis announced on Saturday that she will propose a bill for the U.S. Treasury to purchase 1 million bitcoins within 5 years.George Selgin, the honorary director of the Cato Institute's Center for Monetary and Financial Alternatives, stated that the actual plan is completely different from what Lummis presented on the Bitcoin 2024 stage, and the plan is far less ambitious.Although the details of Lummis's plan have not been disclosed, according to George Selgin's conversation with Lummis's office, the legislation only "indirectly" involves the Federal Reserve and has nothing to do with "bank reserves." In fact, the plan is more moderate, as the Federal Reserve will not acquire any bitcoins (although it will participate in the process). Only the Treasury will acquire them.George Selgin's biggest skepticism is why the Treasury should hold any gold or bitcoins in the first place. He suggested that the Treasury sell its gold on hand to directly pay off debt or fund other efforts, rather than holding large amounts of assets.

ChainCatcher news, according to the Wall Street Journal, the Federal Reserve plans to relax the proposed capital increase requirements for large banks, which previously required an average increase of nearly 20% in capital, and the new plan may be about half of the original plan.