Trump's Crypto Reserve Boosts Market, Whale Profits Spark Insider Trading Concerns
1min read President Donald Trump's recent announcement of the United States Cryptocurrency Strategic Reserve has sparked significant interest and capital inflow into the cryptocurrency market. The reserve will include Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA), among other valuable cryptocurrencies.
The announcement has reversed the recent bearish sentiment in the sector, with assets listed for the strategic reserve witnessing substantial buying activity. Bitcoin has breached the $90,000 resistance, trading at $93,483 as of press time, reflecting an increase of almost 10% in the past 24 hours. Ethereum is also witnessing an uptick in valuation, trading at $2,481, up over 12% on the daily chart. Among the assets proposed for the reserve, ADA is the biggest gainer, surging 55% to trade at $0.99, while XRP has rallied almost 30%, trading at $2.75 as of press time.
The renewed momentum in the market has raised concerns about possible insider trading involving a whale who may have had prior knowledge of the decision. Details of the trade indicate that on March 1, an unidentified crypto whale executed a 50x leveraged long position on Bitcoin and Ethereum, wagering a mere $4 million to control a $200 million position. By March 2, the trader had deftly closed most of the positions, reaping $6.8 million in profits within a single day, raising questions about whether the outcome was sheer luck or if the trader was privy to inside information.
Another massive whale activity was witnessed in XRP. On March 2, prominent cryptocurrency analyst Ali Martinez shared on-chain data indicating that large investors accumulated 270 million XRP. Since taking office, Trump has partly prioritized cryptocurrency policies and regulations, including nominating pro-crypto leaders in agencies such as the Securities and Exchange Commission (SEC). However, some players have expressed skepticism toward the plan, with economist Peter Schiff arguing that Bitcoin's inclusion among other digital assets diminishes its uniqueness.
