Bitcoin in US Reserves Under Trump Administration Could Drive BTC to $1 Million

The United States might be on the verge of boosting Bitcoin’s value to $1 million, thanks to a strategic Bitcoin reserve proposal during Donald Trump’s presidency, according to Adam Back.

After Trump’s victory in the 2024 presidential election, optimism for crypto-friendly policies has surged. The Bitcoin Act, led by Wyoming Senator Cynthia Lummis, aims to establish a strategic Bitcoin reserve in the US, potentially setting a groundbreaking precedent as the first nation to utilize Bitcoin as a “savings technology.”

Anastasija Plotnikova, CEO of Fideum, notes that the bipartisan support for the Bitcoin reserve proposal is growing, fueled by Trump’s win and the incoming Republican Party Senate majority. State-level initiatives such as Pennsylvania’s Bitcoin Strategic Reserve Act are paving the way for broader adoption, while the US government’s existing Bitcoin holdings, valued at $18–19 billion, offer a solid foundation for implementing the reserve.

Adam Back, CEO of Blockstream and a renowned cryptographer, is excited about the bill’s potential to propel Bitcoin to over $1 million. The prospect of the world’s largest economy establishing a Bitcoin reserve could push Bitcoin past the seven-figure mark, setting the stage for a rapid increase in price as markets are not yet factoring in this development.

Bitcoin’s price is currently hovering around $100,000, just shy of the milestone high. This proposed bill has the transformative potential to attract more institutional investors, potentially driving Bitcoin’s price to $500,000 and securing legitimacy as an asset class. The proposal aligns with Trump’s vision of positioning the US as a leader in crypto innovation.

Not only is the bill generating buzz among political figures like Democratic Representative Ro Khanna, but it also holds promise for the crypto industry as a whole. MicroStrategy’s Michael Saylor envisions Trump’s presidency and a Republican-controlled Senate as opportunities to end the “war on crypto,” accelerate institutional adoption, and establish a Bitcoin reserve, among other benefits.

With significant institutional milestones for Bitcoin on the horizon, such as options on Bitcoin ETFs, the approval of solicited sales by traditional banks, and the acceptance of Bitcoin as a collateral asset, the future of cryptocurrency under Trump’s administration looks promising.