Key Takeaways
As Donald Trump prepares to take office on January 20, 2025, the cryptocurrency market speculates how the new administration’s policies might impact digital assets.
With a reputation for bold economic strategies and rumored crypto-friendly advisors, Trump’s presidency could mark a significant turning point for the industry.
Here are three cryptocurrencies to watch in the coming week, each uniquely positioned to benefit from this potential regulatory shift.
The largest cryptocurrency by market capitalization recently surpassed the $100,000 milestone, trading at approximately $102,091. This surge reflects growing investor optimism about Trump’s rumored plans to establish a strategic Bitcoin reserve.
Such a move would cement Bitcoin’s “digital gold” position and signal mainstream acceptance and integration into national financial strategies. With increasing institutional adoption and heightened global uncertainty, analysts predict Bitcoin’s value could soar, potentially reaching $400,000 under a supportive regulatory environment. As the bellwether of the crypto market, Bitcoin’s performance will likely set the tone for other assets.
Bitcoin’s price action indicates the completion of corrective Wave 4, with the current rally likely marking the beginning of Wave 5. The price is expected to aim for a breakout above the $108,000 area, pushing towards higher Fibonacci extension levels.
Ethereum, the second-largest cryptocurrency, is the backbone of decentralized finance (DeFi) and the NFT ecosystem. Currently trading at around $3,428, Ethereum is poised to benefit from regulatory clarity, which could foster innovation and attract institutional investment.
The transition to Proof of Stake (PoS) through Ethereum 2.0 has enhanced its scalability and energy efficiency, making it even more appealing to developers and environmentally conscious investors.
Ethereum’s role in the Web3 ecosystem is irreplaceable as the platform supports thousands of decentralized applications. Analysts see significant growth potential as the administration’s policies could unlock new opportunities for Ethereum-based projects.
Ethereum appears to have completed an ABC corrective wave and is currently testing a downward resistance trendline. A successful breakout could drive the price toward the $3,673 or $4,081 resistance levels, aligning with bullish continuation expectations.
XRP has seen a notable rally, climbing above $3 and trading at approximately $3.29. Ripple’s recent legal victory against the SEC has bolstered confidence in XRP as a regulated digital asset.
Its focus on cross-border payments and banking integration positions it uniquely for growth. Speculation that central banks, including the Federal Reserve, may embrace XRP further strengthens its appeal. With low fees, high speed, and scalability, XRP can benefit from Trump’s potential push for financial innovation.
The XRP chart shows a clear Elliott Wave structure, with Wave 3 extending strongly and Wave 4 potentially forming a corrective pattern before moving into Wave 5. The price will likely target the next Fibonacci extension levels at $3.77 or $3.99, signaling further bullish momentum after a brief consolidation.
Bitcoin, Ethereum, and XRP each represent distinct facets of the cryptocurrency market: store of value, innovation, and payment solutions. As Trump’s administration signals a potentially favorable regulatory environment, these cryptocurrencies are poised to capitalize on emerging opportunities, making them essential assets to watch in the coming week.