Market Analysts: Trump Inauguration Already Priced into Cryptocurrency Movements
Prior to the unexpected release of an official Trump meme coin on Friday night, industry analysts predicted that Monday’s inauguration of Donald Trump would not result in any notable price movements for major cryptocurrencies. Some experts believe that the market has already priced in the inauguration because popular coins like Bitcoin, Solana, and XRP have increased significantly after the Republican’s election victory on November 5.
I do not anticipate any significant movements on Monday. The event appears to be already priced in, and the inauguration is mainly ceremonial rather than market-moving.
YouHodler’s chief of markets Ruslan Lienkha
Bitcoin Analysts Warn of Potential Sell-the-News Reaction Post-Trump Inauguration
Given that Bitcoin has already experienced significant gains in the lead-up to Trump’s inauguration, several analysts also point out the potential for a sell-the-news day for big tokens.
With positive CPI data already priced in and Trump’s inauguration unlikely to introduce any immediate, game-changing policies for crypto, Monday could see a pullback as short-term traders lock in gains,
Anndy Lian cryptocurrency author
Figures like BitMex co-founder Arthur Hayes, who said last month that Bitcoin would experience a vicious sell-off if Trump takes office, have issued more warnings that are consistent with this hypothesis.
Trump’s Economic Policies May Pose Risks to Crypto Markets, Analysts Warn
However, other analysts caution that some of Donald Trump’s other economic measures could indirectly hurt the cryptocurrency market, even if the presence of presidents and macroeconomic policies that are supportive of cryptocurrencies should indicate generally growing values. The market will require the incoming administration to take action before it can start distinguishing between perceptions and reality, which may be why it would be too soon to anticipate significant changes on Monday.
Other policies, such as the potential intensification of trade wars and the imposition of new tariffs, could sustain elevated inflation levels and exert downward pressure on financial markets,
Lienkha
However, Monday can bring more volatility to smaller-cap tokens and meme coins with political themes.
For instance, tokens like MAGA or DOGE (Department of Government Efficiency) may stage a rally, influenced by emotional trading rather than substantive factors,
Lienkha
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