Bitcoin News Today: Bitcoin Surges 1.7% as Trump Opens 401(k)s to Crypto Investments

Bitcoin surged past $116,000 on August 7, 2025, following U.S. President Donald Trump’s executive order allowing cryptocurrencies to be included in 401(k) retirement plans. The decree, signed just weeks after the Genius Act, aims to integrate alternative assets such as bitcoin, real estate, and private equity into traditional retirement savings, signaling a major shift in American financial regulation [1]. The move is expected to unlock over $12.5 trillion in pension funds for potential crypto investments, offering a significant windfall for the crypto industry [1].

The market reacted swiftly to the news, with Bitcoin rising from $114,900 to $116,850 within hours, recording over $30 billion in trading volume in 24 hours [1]. Analysts attribute the price surge to increased institutional interest, particularly from retirement savers now allowed to allocate a portion of their pensions to crypto [2]. This marks a pivotal moment for the integration of digital assets into mainstream finance and institutional portfolios [1].

The executive order mandates the Department of Labor to revise its fiduciary guidelines to accommodate these new investment categories [1]. This development comes after years of regulatory hesitancy, where alternative assets were largely prohibited in 401(k) plans. By removing these restrictions, Trump aims to offer savers greater investment flexibility while positioning himself as a champion of financial innovation and deregulation [1].

The political implications of the move are clear. Trump is signaling confidence in crypto as a legitimate and long-term savings vehicle, a stance that could resonate with younger investors and crypto enthusiasts [1]. This aligns with his broader strategy to regain influence among a demographic historically wary of traditional financial institutions [1].

Crypto industry players have welcomed the decision, with major players like BlackRock planning to launch a 401(k) fund including up to 20% in private assets, including cryptocurrencies, as early as 2026 [1]. The rise of crypto bonds and specialized investment vehicles further indicates the evolving landscape [1]. Over 200 publicly listed companies are now holding bitcoin on their balance sheets, a trend that is expected to accelerate with broader institutional adoption [1].

Analysts predict that if Trump secures another term, he will likely push for further measures to boost crypto adoption and price stability [1]. With the market already showing strong enthusiasm, the integration of bitcoin into retirement savings may not only redefine investment behavior but also permanently alter the perception of digital assets in the U.S. [1].

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Sources:

[1] title: Bitcoin Soars Past $116,000 After Trump Opens Pensions to Crypto url: https://www.cointribune.com/en/bitcoin-soars-past-116000-after-trump-opens-pensions-to-crypto/

[2] title: Bitcoin News Today: Trump Executive Order Paves Way for ... url: https://www.ainvest.com/news/bitcoin-news-today-trump-executive-order-paves-crypto-401-bitcoin-rises-1-3-announcement-2508/

[3] title: Bitcoin surges on new Trump measure to allow crypto in ... url: https://www.aol.com/bitcoin-surges-trump-measure-allow-151418054.html