CoinSpotMarket Update
Bitcoin Dominance Hits Multi-Year High As Trump Continues Pro-Crypto Push
3 minutes
a month ago
3 minutes
a month ago
Bitcoin dominance—which measures BTC’s market cap as a percentage of the combined market cap of all cryptocurrencies—hit 61.4% this week, its highest level since March 2021. The reasons behind the recent climb in BTC dominance are multi-faceted. One major reason is MicroStrategy’s continued accumulation of BTC. In the past few months, it has spent several billions of dollars adding to its BTC holdings. The company, co-founded by Michael Saylor, recently announced plans to keep accumulating.
Trump signed an executive order to promote the advancement of cryptocurrencies in the U.S. and to work toward potentially establishing a national digital asset stockpile.
As part of the order, the Department of the Treasury, Department of Justice, SEC, and other agencies were tasked with recommending changes to crypto laws by January 23. A federal regulatory framework proposal is expected by July 22.
Earlier this week, David Sacks, who is President Trump's crypto and AI czar, led a joint press conference with leaders of the House of Representatives and Senate committees for banking and finance to discuss their early objectives for crypto policy, with the help of the SEC.
In the press conference, Sacks confirmed that one of their first priorities is supporting a stablecoin bill to create a “clear regulatory framework” for their use. He also added that evaluating a potential bitcoin reserve “is one of the first things we're going to look at.”
In other regulatory news from the U.S., the Securities and Exchange Commission (SEC) launched a crypto task force aimed at providing clearer regulations, with a new website inviting public and industry input. This news coincided with SEC Commissioner Hester Peirce's announcement of a new regulatory approach, focusing on evaluating the security status of cryptocurrencies and considering retroactive relief for certain token offerings.
This development comes as the SEC is reportedly moving to scale back a special unit of more than 50 lawyers and staff members that had been dedicated to bringing crypto enforcement actions.
