After the November US elections, the cryptocurrency community was delighted when a pro-Bitcoin (BTC) supporter and pro-crypto candidate Donald Trump emerged as the US president-elect. During a wide-ranging campaign, Trump expressed clear support for the cryptocurrency industry, promising to implement favorable policies including a national bitcoin reserve if elected.
With the Republican’s inauguration approaching, respected crypto figure and CryptoQuant CEO Ki Adolescent Ju has expressed his thoughts on the likelihood of Donald Trump following through on his promises in the crypto space.
Trump May Change Pro-Bitcoin Stance on Dollar Dominance: Adolescent Ju
In Post X from December 28Ki Adolescent Ju shared his opinion on the feasibility of Donald Trump’s pro-Bitcoin manifesto, especially regarding the proposed adoption of BTC as a strategic reserve asset.
CryptoQuant’s CEO first explains that historically, gold, which serves as the global financial standard, has experienced pointed price increases whenever the United States has detected a threat to its economic health. Over the past 50 years, the US dollar has become the global standard, and the United States has continually rejected a return to the gold standard, employing several strategies to maintain economic growth.
Ki Adolescent Ju states that Bitcoin is currently developing in the ideological space previously occupied by gold, i.e. serving as a hedge against inflation and other economic crises that fiat currencies such as the US dollar may be subject to.
However, CryptoQuant’s CEO believes that the US government will only adopt BTC as a strategic reserve asset if it sees a threat to its global economic dominance. Although Adolescent Ju claims that current market sentiment indicates that such a threat does not exist as the US dollar continues to experience significant capital inflows.
Therefore, the United States will likely purchase Bitcoin for risk management or economic leverage, rather than as a reserve asset as Bitcoin Marxists expect.
Adolescent Ju further suggests that if Trump prioritizes the dominance of the US dollar to enhance economic supremacy, pro-Bitcoin policies may fall by the wayside in his administration, with little impact on the Republican’s staunch supporter base.
This scenario is highly likely following Trump’s recent boastful statements about the economic power differential in the US ahead of his January inauguration. Therefore, despite the promises made at the National Bitcoin Conference, Adolescent Ju believes that it is still hard to establish Trump’s political will to implement his pro-Bitcoin manifesto, the failure of which would expose these promises as a mere political strategy to secure votes.
BTC price overview
At the time of writing, BTC is trading at $95,259, reflecting an raise of 0.76% in the last day. However, the asset’s trading volume dropped by 53.80% and is valued at $24.12 billion.
Featured image from PCMag, chart from Tradingview
