Trump Doubles Down On Crypto Adoption, Teases More Plans
The Descending Channel Does Its Job Again. But for How Long?
Former President Trump is doubling down on his promise to make the U.S. the crypto capital of the planet. This comes after cozying up to cryptocurrency during a conference in Nashville roughly a month ago. At that time he first mentioned his plans to accelerate crypto adoption and to create a strategic Bitcoin reserve using part of the government’s current BTC holdings as well as forming a crypto advisory council.
On August 29, Donald Trump took to X (formerly Twitter) to tease his upcoming strategy. In a 17-second video, he mentioned revealing his plans on how to make the U.S. the crypto capital of the planet and hinted at fighting against banking access inequality by saying “They want to choke you out of business. We’re not going to let that happen…”
The video concludes with a logo of World Liberty Financial, a DeFi project that his sons plan to interact with. The plan includes launching a brand new crypto platform referred to as “The Defiant Ones”. According to the Trump family’s X posts: “For too long, the average American has been squeezed by the big banks and financial elites. It’s time we take a stand—together.”
At this time the full strategy is not revealed but this stance shift will probably attract more voters, namely the crypto enthusiasts who see a pro-crypto President as a good thing. Donald Trump has been known to say that crypto is volatile and based on thin air. Now he is planning to leverage DeFi to fight the legacy banking system.
Could this have anything to do with the fact that more than 20% of voters in swing states are weighing political candidates’ stances on crypto when making their voting decisions?
Chart Analysis – BTC/USD
Bitcoin is currently changing hands at $59,500, just below the crucial barrier at $60,000 but it is going down after yet another rejection at the upper boundary of the descending channel.
Since reaching its All-Time High on March 14, Bitcoin has been trapped more or less inside this channel. It did manage to break its upper line a few times but it was brief and it always resulted in a move to the opposite side.
If we were to follow the technical analysis principle that history repeats itself, the current bounce at the upper side of the channel will result in a move to the lower barrier, somewhere in the $51,000 zone. However, until the price gets there, it has to deal with the support at $57,000. If support holds and the pair bounces strongly, we may see a break of the upper channel boundary.
