U.S. Bitcoin Reserves Steal the Spotlight Market Reaction & Outlook
Bitcoin is holding around $87,000–$88,000 this week despite heavy ETF outflows (> $350 M), showing underlying support but clear caution from traders.
On the macro front, the U.S. Strategic Bitcoin Reserve built from seized BTC and backed by a 2025 executive order remains a centerpiece of fiscal debate, with roughly 198,000 BTC estimated in government hands. This makes the U.S. arguably the largest public holder globally.
Policy chatter is heating up: Senators are discussing annual purchases of 200,000 BTC to scale the reserve but critics note even 1 M BTC would barely dent the $38.4 T national debt at current levels.
Traders are conflicted bullish on long-term structural demand, yet wary of short-term legislative and ETF flow pressures. Bitcoin’s “digital reserve” narrative is real, but markets want clarity before committing hard. 🚀📉
