Bitcoin $100K Predictions Return After Price Jumps 10%

The cryptocurrency market experienced a significant bullish turnaround in the past 24 hours, with Bitcoin (BTC) leading the charge following President Donald Trump’s announcement regarding the long-promised strategic crypto reserve. This development has not only propelled Bitcoin’s price to near-record levels but has also reinvigorated investor confidence in the broader cryptocurrency ecosystem.

The “Trump Put” Effect

On Sunday, President Trump took to Truth Social to announce that he has directed the Presidential Working Group to move forward with establishing a crypto strategic reserve. This reserve will include five specific cryptocurrencies: Bitcoin (BTC) and Ethereum (ETH) as core components, along with Ripple (XRP), Solana (SOL), and Cardano (ADA).

This announcement has introduced what market analysts are now referring to as the “Trump put” on crypto—drawing parallels to the “Fed put” concept in traditional financial markets. Just as the Federal Reserve has historically intervened to support stock markets during periods of turbulence, the Trump administration appears poised to provide similar support for cryptocurrency markets.

Trader and analyst Alex Kruger observed on social media that “Trump signaled there is a Trump put on crypto,” noting that this announcement was “good enough for a trend change, particularly given how BTC blasted through resistance with sentiment among many at all-time lows.”

Market Response

The market response to Trump’s announcement has been overwhelmingly positive:

• Bitcoin surged nearly 10% in 24 hours, reaching a high of over $95,000
• The other tokens named in the announcement—ETH, XRP, SOL, and ADA—recorded even more substantial gains
• Bitcoin has re-established key support levels at $89,000 and $92,000
• Renewed activity in $100,000 strike call options indicates trader optimism for continued upward momentum

Data from Amberdata shows that open interest in the $100,000 call options has increased by 1,163 contracts, worth over $100 million—the most significant increase among all options listed on Deribit. Greg Magadini, director of derivatives at Amberdata, noted that “$100k will be the level everyone is looking at intra-week.”

Options Market Signals

The options market is providing additional signals of renewed bullish sentiment:

• Short-term skews, which measure the implied volatility premium for calls relative to puts, have bounced back to zero and higher
• This represents a significant recovery from the deeply negative readings observed since Friday when traders were pursuing protective put options
• According to Lin Chen, Deribit’s Asia Business Development Head, “People like to buy calls and sell puts when the market bounces”

Challenges and Skepticism

Despite the positive market reaction, some industry observers maintain a degree of skepticism about the practical implementation of the crypto reserve:

• Arthur Hayes, chief investment officer and co-founder of Maelstrom Fund, dismissed the announcement as “just words,” questioning when congressional approval would be secured to finance such purchases
• Others, including Bybit’s CEO Ben Zhou, share similar concerns about execution
• Mark Hiriart, Head of Sales at digital asset trading firm Zerocap, observed that while sentiment is “largely bullish,” specific concerns remain regarding “execution, Congressional approval, and potential long-term risks like government intervention”

Looking Ahead: The White House Crypto Summit

All eyes are now on the upcoming White House Crypto Summit scheduled for March 7, which could provide additional details about the strategic crypto reserve. Market analysts anticipate interesting “buy the rumor, sell the news” dynamics leading up to this event.

The summit may address several critical questions:

• The timeline for establishing the reserve
• The specific allocation percentages for each cryptocurrency
• The funding mechanisms and congressional approval process
• Regulatory frameworks that might accompany the reserve’s creation

Broader Implications

The concept of a government-backed crypto reserve represents a significant shift in the relationship between traditional institutions and digital assets. If implemented, this initiative could:

1. Legitimize cryptocurrencies as a strategic asset class
2. Potentially trigger similar reserves in other countries
3. Accelerate institutional adoption of digital assets
4. Create a new dynamic between government policy and crypto market movements

While the announcement has certainly provided a short-term boost to cryptocurrency prices, the longer-term implications remain to be seen. The market will be closely monitoring developments from the White House Crypto Summit on March 7 for more concrete details about the implementation timeline and specifics of the strategic reserve.

For now, the “Trump put” concept appears to have established a psychological floor for the market, with Bitcoin confidently testing the $95,000 level and traders increasingly positioning for a potential breakthrough to $100,000 in the near future.

As Josh Gilbert from eToro noted, “Given the President’s vested interests, it feels like this is something investors may need to get used to; sell-offs of this nature could continue to be supported moving forward.” Whether this represents a fundamental shift in market dynamics or a temporary phenomenon will likely become clearer in the coming weeks. Check cryptonewstoday for latest updates

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