I’m a Crypto Expert: Here’s Why I’d Continue Buying Bitcoin With Trump in Office

Bitcoin, after peaking above $126,000 in October and sliding more than 25% to about $90,700 as of Dec. 9, is unlikely to hit previously touted $200,000 targets in 2025 but retains a bullish structural case driven by U.S. policy and institutional developments. The Trump administration’s executive order to create a Strategic Bitcoin Reserve (about 200,000 BTC) and the proposed Bitcoin for America Act—which could channel tax payments into the reserve and acquire up to 1 million BTC (~5% of supply)—would materially increase sovereign demand, while commentators expect other nations to follow. Regulatory moves such as the SEC’s SAB 122 reversal of SAB 121 and Project Crypto’s reduced enforcement open the door for major banks to offer custody and for greater institutional flows, and on‑chain data showing 63% of supply unmoved for over a year (45% for three years) suggests a base of long-term “ideological accumulators” that can provide a price floor, supporting long-term adoption even as near-term upside remains uncertain.

Analysis

Bitcoin rallied to a record above $126,000 in October before declining more than 25% to roughly $90,700 as of Dec. 9, erasing near-term bullish price targets such as $200,000 for 2025. Market commentary in the article frames the retracement as part of normal volatility while downgrading near-term upside expectations.

Policy moves are the primary structural narrative: the Trump administration’s executive order to create a Strategic Bitcoin Reserve converts the U.S. from a net seller to a permanent holder of roughly 200,000 BTC, and the proposed Bitcoin for America Act could direct tax payments and authorize acquisition of up to 1 million BTC (~5% of supply) over five years. Analysts quoted note private capital is “front-running” a potential sovereign bid and that other nations may emulate the strategy in 2026, implying sustained sovereign-driven demand.

Regulatory signals support institutional adoption: the SEC’s SAB 122 rescinded SAB 121 and Project Crypto reduced dozens of enforcement actions, which should clear the path for major banks to offer custody. On-chain data showing 63% of supply unmoved for >1 year (45% for >3 years) suggests a base of long-term holders that can act as a price floor, but material near-term volatility and legislative execution risk remain key uncertainties that will determine actual inflows.

Key Decisions for Investors

• Consider selective, size-constrained spot or regulated ETF exposure for multi-year upside to capture potential sovereign and institutional demand, while acknowledging recent >25% drawdown and maintaining disciplined position sizing
• Monitor passage and implementation of the Bitcoin for America Act and Treasury purchase announcements as primary catalysts for incremental accumulation or de-risking, using confirmed policy actions rather than rhetoric as triggers
• Track SAB 122 adoption and announcements of major-bank custody services as indicators of accelerating institutional flows and consider tactical exposure to regulated custody/fintech providers for indirect play
• Maintain active risk management — set explicit position limits, use protective options or collars if needed, and avoid assuming a $200,000 2025 outcome given the article's downgrade in near-term probability