Bitcoin traders have been in a holding pattern in recent weeks, anticipating further clarity on US President Donald Trump’s approach to digital assets.
Despite predictions of a significant price movement, Bitcoin remained stable at around $85,000 throughout March.
A senior White House official has revealed that the US government is exploring ways to utilise its gold reserves to accumulate Bitcoin, potentially causing a major market shift, reported Forbes.
“If we actually realise the gains on (the US gold holdings), that would be a budget-neutral way to acquire more Bitcoin,” said Bo Hines, White House Executive Directorof the President’s Council Of Advisers on Digital Assets, during an interview with the Crypto in America podcast.
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He added that the Trump administration has considered multiple strategies and will implement the most effective ones.
Hines pointed to the Bitcoin Act 2025, introduced by Senator Cynthia Lummis, which advocates for purchasing one million Bitcoin, which is roughly 5% of the total supply, over the years through the sale of Federal Reserve gold certificates.
Trump’s commitment to Bitcoin
The discussion follows Trump’s recent remarks at a digital assets summit, where he reaffirmed his commitment to positioning the US as a global leader in Bitcoin and cryptocurrency.
“It is high time that our president started accumulating assets for the American people, which is what President Trump is doing rather than taking it away,” Hines stated, referencing an executive order preventing the sale of seized Bitcoin and other digital assets.
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Trump himself reinforced this stance in a pre-recorded message at a cryptocurrency conference, stating, “I will make the US, the undisputed Bitcoin superpower and the crypto capital of the world.”
He highlighted the potential for Bitcoin to enhance banking systems, privacy, security and economic growth.
Market reactions and future predictions
Bitcoin’s recent price stagnation has been largely attributed to macroeconomic conditions, including trade disputes, fiscal uncertainty and geopolitical tensions. However analysts maintain a positive long-term outlook.
“The world is going through major structural changes and we believe both Bitcoin and gold will outperform,” Ed Hindi, Chief Investment Officer at Switzerland-based Tyr Capital, told Forbes.
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While Bitcoin has been hovering around $85,000, market watchers predict strong support at the $75,000 level with potential record highs exceeding $125,000 by 2025. If the US government proceeds with accumulating Bitcoin, it could significantly impact global adoption and price movements.
(With inputs from media reports)