Bitcoin Dips Below $80,000 Amid Market Jitters

The cryptocurrency market has been shaken by heavy selling pressure as traders digest the aftermath of the White House’s much-anticipated crypto summit. Volatility is expected to linger as investors weigh the implications of President Donald Trump’s recent executive order, which establishes a U.S. Bitcoin reserve and a digital asset stockpile.

Bitcoin’s price has once again dipped below the $80,000 mark—territory not seen since before last November’s U.S. election. The sell-off follows Trump’s announcement of a federal Bitcoin reserve, a move that some had hoped would bring stability to the crypto industry. However, the lack of concrete details has left many investors on edge.

Trump’s Promises: Bold Moves or Empty Words?

Last Friday, just a day after signing the executive order, Trump pledged to push forward stablecoin legislation before August and vowed to end the ongoing issue of crypto debanking. While these commitments sound promising, many industry experts remain unconvinced.

"Donald Trump's much-anticipated crypto summit was an exemplary exercise in public relations" said Kai Warwzinek, co-founder of Impossible Cloud Network. "While promising great change for crypto, the U.S. President delivered almost nothing."

The Bitcoin Reserve and Digital Asset Stockpile

The executive order mandates a full inventory of the federal government’s digital asset holdings. As part of the plan, the U.S. government will not sell any Bitcoin deposited into the reserve, treating it as a store of value akin to a digital Fort Knox.

Additionally, a U.S. Digital Asset Stockpile will be formed, consisting of confiscated digital assets from criminal and civil proceedings. The government currently holds 198,109 BTC—valued at approximately $16 billion, according to Bitcoin Treasuries.

Analysts Warn of Continued Volatility

Despite these developments, skepticism persists. Deutsche Bank’s Marion Laboure warns that without clear details on timeframes, funding, and asset allocation, crypto markets may remain highly volatile.

"All in all, the summit was lip service paid to a promise made to win an election" Warwzinek added. "As most suspected, Trump is far more focused on other priorities like immigration, conservative social policy, and trade negotiations. If the crypto industry wants more from the President, it will likely have to give more."

Bitcoin Volatility Spikes to Three-Month High

The uncertainty has rattled investors, pushing annualized Bitcoin volatility up to 62.67% as of March 9, its highest level in over three months. Whether Trump’s Bitcoin reserve plan brings long-term stability or more turbulence remains to be seen.