Bitcoin Stabilizes Near $90,000 After Trump’s Davos Remarks

Bitcoin appears to be stabilizing at around $90,000 after a temporary price drop. The main topic of discussion was US President Donald Trump’s appearance in Davos, where, in addition to Greenland, cryptocurrencies were also discussed.

The Bitcoin price curve experienced a temporary dip below $88,000 yesterday following a speech by US President Donald Trump, but then recovered to a level around $90,000. At the World Economic Forum in Davos, Trump spoke extensively about Greenland and Europe, but also devoted time to his crypto policies.

Financial markets, as well as Bitcoin, reacted with relief to Trump’s announcement that evening of a framework agreement between the US and NATO regarding Greenland. US tariffs on Europe are now off the table, Trump assured. Does this lay the foundation for a Bitcoin rally?

Donald Trump praises crypto as a gateway to “financial freedom”

Trump’s appearance before numerous heads of state and business leaders had some bizarre moments, as the 79-year-old rambled on, confused Iceland and Greenland, or indulged in self-praise. However, in his remarks on crypto (see video here ), Trump apparently stuck to his prepared text and made it clear: Bitcoin and other cryptocurrencies remain a top priority for him, and he intends to sign the Clarity Bill, the framework for the crypto industry, as soon as possible. While Clarity is currently stalled in the US Senate, it is not being fundamentally blocked by the opposition.

Trump declared that crypto could open the door to “financial freedom” for US citizens, sounding like an advertisement for his backed project, ” World Liberty Financial .” In his view, the US must remain the “crypto capital of the world” because China also wants to dominate the sector. Otherwise, the US president remained vague about Bitcoin and other cryptocurrencies. However, the mere fact that Trump presented his crypto policy in Davos was celebrated on social media.

Bitcoin ETFs experience their worst day since November

Despite this setback, Bitcoin suffered a disappointment on the stock market yesterday. Bitcoin ETFs in the US recorded a capital outflow of $703 million, a poor daily result not seen since November, according to SoSo data . At that time, Bitcoin had plummeted to below $87,000, and market participants are now debating whether there’s an opportunity to buy BTC at low prices or if patience is the best strategy.

Conclusion: US President Trump expresses his support for crypto, but questions remain

Financial markets also took note of Trump’s announcement of further interest rate cuts in Davos, which undermines the independence of the US Federal Reserve. This morning, Trump will establish his new and controversial “Peace Council” on the sidelines of the World Economic Forum – given his loquaciousness, this could also touch on other issues.

The psychology of the markets is also evident in Bitcoin: the relief over the Greenland compromises allows BTC to consolidate, but the next price-moving surprise from President Trump is probably only a matter of time.

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(Featured image by Dmytro Demidko via Unsplash)

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