U.S. President Donald Trump, re-elected on November 6, 2024, and sworn into office on January 20, 2025, has once again rattled the cryptocurrency market. In his latest remarks, he labeled Bitcoin a “threat to the U.S. dollar” and warned of “harsh regulation or even elimination” of digital currencies if they continue to undermine financial stability.
The crypto market reacted instantly. Within 24 hours, Bitcoin plunged 8–10%, followed closely by major altcoins such as Ethereum, Solana, and Cardano. Spooked by fears of tighter government oversight, investors began to offload their crypto holdings in a wave of panic selling.
Trump has long voiced skepticism toward cryptocurrencies. But now, during his second term and amid mounting global tensions—from strained relations with Iran and dramatic G7 exits to divisive immigration policy—his rhetoric carries renewed and very real weight. The threat of a fresh round of sanctions and restrictions has cast a shadow of uncertainty over digital markets.
Analysts warn that market volatility is likely to persist in the run-up to the midterm elections, especially as Trump’s anti-crypto stance hardens. Institutional investments may temporarily pull back, and the long-term fear of centralized clampdowns is becoming more tangible.
Still, crypto advocates remain confident in Bitcoin’s fundamental strength: its resilience against inflation and its decentralized nature. But in the short term, the President’s aggressive posture is undeniably amplifying risk and pressure.
Bottom line: Trump’s recent statements have an immediate and chilling effect on the crypto market. As the 2025 political landscape intensifies, even a single remark can ignite a financial firestorm. Investors would be wise to keep a close eye on Trump’s words—and prepare for more turbulence ahead.