Bitcoin has experienced a remarkable resurgence following remarks made by President Donald Trump at the Digital Asset Summit (DAS) held in New York on March 20, 2025. At the summit, Trump touted his vision of establishing the United States as a dominant force in the cryptocurrency space, positioning it as the "superpower" and, moreover, the "undisputed crypto capital of the world." Following his address, Bitcoin's price saw significant fluctuations, initially soaring to $86,000 (£66,400) before settling around $79,000 (£61,000).
Back in December 2024, Bitcoin's value briefly surpassed $100,000 (£77,200) for the first time but subsequently faced a steep decline attributed to concerns over economic instability linked to the Trump administration's policies. Despite these challenges, the recent rally highlights the cryptocurrency's potential for recovery, which many believe is tied to the recent Bitcoin halving event that occurred on April 20, 2024. The halving is a mechanism embedded in Bitcoin’s code that reduces the reward for mining new blocks by 50%, effectively limiting the supply of Bitcoin and often resulting in price increases.
Aaron Peak, a personal finance expert from CredAbility, explained the significance of this halving: "Halving is important because it slows down how quickly new bitcoins are created. Historically, bitcoin halving has led to price increases. When fewer new bitcoins enter the market, but demand stays the same (or grows), the price often rises." He also noted that the current mining reward is 6.25 bitcoins per newly mined block, which will drop to 3.125 bitcoins after the next halving, expected in 2028.
In a further boost to the crypto industry, Trump addressed a major regulatory issue that affected the market, known as "operation chokepoint 2.0." This operation involved federal agencies dissuading banks from dealing with what they deemed risky sectors, particularly cryptocurrencies. Trump criticized it as a form of "lawfare" against blockchain technology and pledged to reverse such overreach.
From an investment perspective, the current environment offers a mix of risk and opportunity. With President Trump’s announcement to include major cryptocurrencies such as Ethereum (ETH), Ripple (XRP), Solana (SOL), and Cardano (ADA) in the U.S. Strategic Crypto Reserve, market volatility is a prevailing theme. Analysts suggest that traditional holding strategies may not yield profits amid the current fluctuations, urging traders to consider more dynamic trading methods.
To capitalize on this market volatility, platforms like BexBack Exchange are encouraging traders to engage in 100x leverage futures trading, allowing them to maximize their potential returns. BexBack is promoting enticing promotions: a 100% deposit bonus, available to all new users, which permits them to double their funds instantly, as well as a $50 welcome bonus for traders completing their first trade.
Here's how leverage works: if a trader enters a long position of 1 BTC at a price of $100,000 using 100x leverage, they control a position worth 100 Bitcoins. Therefore, if the price rises to $105,000, their profit would be calculated as follows: (105,000 - 100,000) * 100 BTC / 100,000 = a gain of 5 Bitcoin, equating to a staggering 500% profit.
However, it is crucial to understand that while leverage can amplify profits, it also increases the risk of liquidation. BexBack advises its users to apply robust risk management strategies when trading with leverage to mitigate potential losses.
Despite its speculative nature, cryptocurrencies have been gaining traction as a viable investment avenue. The involvement of the U.S. government at the highest level provides a certain legitimacy to Bitcoin and its altcoins. As a testament to the growing interest, over 500,000 traders worldwide have already turned to BexBack for their trading needs, ensuring access to high leverage and significant incentives.
The landscape of cryptocurrency trading is transforming rapidly, and with the ongoing support from high-profile political figures like Trump, it is poised for further growth and innovation. As the market appropriately responds to these developments, a cautious but optimistic approach is warranted for both traders and investors.
With Bitcoin's predetermined supply limited to 21 million coins, each halving significantly impacts market dynamics. Ultimately, the interplay of demand, regulatory measures, and market speculation will determine the future of cryptocurrencies like Bitcoin. Investors are advised to stay informed and prepared for this ever-evolving segment of financial markets.
