The cryptocurrency market soared instantly to $330 billion on March 2 after President Donald Trump declared the strategic establishment of a crypto reserve. The market delivered a strong recovery after the rally which had battled for ongoing weeks.
Following the spike a major number of wipeouts occurred when investors lost more than $900 million within a single day. Digital currencies including Bitcoin generated notable value increases which prompted experts to consider future growth potential throughout the crypto market.
CoinGlass shows the market gained $330 billion worth of value through its analysis following President Trump's announcement. The market explosion following the announcement generated both valuable growth and significant disorders. Most of the investment positions that existed were forced to close especially those with long-duration contracts. The combined loss from liquidated long positions reached $350 million and short positions totaled $540 million in losses.
Market volatility during this period caused these liquidations as part of crypto space behavior patterns. The cryptocurrency market experienced major losses but Bitcoin alongside Ethereum and Solana managed to record substantial price gains during this time. Bitcoin experienced a 6.6% increase that took it to the mark of $92,127. The cryptocurrency market saw Ethereum ascend to $2,384 with a 7% growth followed by Solana surpassing $163.47 after increasing by 13%. XRP dominated percentage growth by reaching 19% to achieve $2.7084 as its new value.
The crypto community shows strong optimism because the U.S. strategic reserve will include Bitcoin, Ethereum, XRP, Solana, and Cardano. During the announcement Trump declared Bitcoin and Ethereum to play essential roles within the reserve strategy. These digital assets form the fundamental elements of the U.S. government's digital asset leadership strategy according to the plan.
Analysts within the market forecast that this addition will generate additional optimistic sentiment throughout the sector. A U.S. crypto summit is scheduled by the White House for March 7 that merges vital industry executives with government policymakers to chart digital asset trends throughout America. Market confidence has surged following this initiative which prompts experts to predict more expansion for the crypto rally.
The announcement from Trump has led expert analysts to forecast additional growth within the crypto market. According to Kathleen Brooks at XTB Bitcoin maintains a positive momentum that implies it will reach the $100,000 target in the coming period.
The movement of Bitcoin has generated predictions about indirect stock market influence, particularly regarding technology stocks that display related Bitcoin price changes.