Trump's Advisor Proposes US Bitcoin Reserve Amidst Crypto Regulation Push

US President Donald Trump's special advisor on AI and cryptocurrencies, David Sachs, has announced the development of a US sovereign wealth fund, sparking speculation about the potential inclusion of Bitcoin (BTC).

Sachs, who heads the working group on digital asset markets, stated that the creation of a national Bitcoin reserve was among the US President's campaign promises. He described Bitcoin as "an excellent store of value" and "the strongest digital currency," highlighting its unmatched security.

The crypto czar emphasized the interest of members of the House and Senate banking and financial committees in creating a regulatory framework for cryptocurrencies within the next six months. Stablecoin legislation is expected to be a primary focus. Senator Bill Hagerty has introduced a project to establish oversight of stablecoin issuers, dividing regulation between state agencies and the Federal Reserve with the OCC under the US Treasury.

At a joint press conference with Sachs, the chairmen of the House Financial Services Committee French Hill, House Agriculture Committee Glenn Thompson, and Senate Agriculture Committee John Boozman promised to revisit the Financial Innovation and Technology Act (FIT21). Sachs stated, "We want to keep innovation in the US. Financial assets are destined to become digital, like all analog industries."

Meanwhile, Bitcoin's price has been volatile, lingering below $100,000 as China imposes tariffs on US goods. In the past 24 hours, over $400 million in liquidations have occurred, with yesterday's liquidations potentially reaching $10 billion, according to Bybit. Despite the volatility, Bitcoin remains in a general sideways trend, with some horizontal support at the current level.

Looking ahead, the continuation of the uptrend appears more likely, given that the final stage of the bull run could come to an end towards the latter part of this year. If the price continues to fall, further support can be found at $95,000 and $92,000, with the major ascending trendline acting as a large ditch support.