XRP News Today: XRP Slumps as Trump Targets a Strategic BTC Reserve; BTC at $86k

XRP Slides as Strategic Bitcoin Reserve Takes Center Stage

XRP faced selling pressure on Friday, March 7, as investors reacted to the US administration’s decision to establish a Strategic Bitcoin Reserve (SBR). US President Trump signed an Executive Order (EO) on March 6, establishing a US SBR, shifting focus to BTC as a national strategic asset. AI and Crypto Czar David Sacks shared the text of the EO, labeling it a historic moment.

The EO dashed market hopes of Trump including XRP in a multi-crypto strategic reserve, sending XRP crashing below $2.4. It was a U-turn from Trump’s statement on March 2, supporting a multi-crypto strategic reserve asset comprising BTC, ETH, ADA, SOL, and XRP.

A Crypto Strategic Reserve Asset, including XRP, could have pressured the SEC to end the Ripple case. The US administration would not have included XRP if the SEC planned to pursue its appeal, challenging the Programmatic Sales of XRP ruling.

While investors reacted negatively to the EO, XRP’s price trajectory remains hinged on the SEC’s appeal strategy and progress toward an XRP-spot ETF market.

Expert Views on the US Strategic Bitcoin Reserve

Amicus Curiae attorney John E. Deaton shared his views on the EO:

“The EO, presumably written by David Sacks, Howard Lutnick, and Bo Hines, with input from folks like Chris Giancarlo and others, is as good as it gets, related to what a President can do. Liz Claman, Charles Gasparino, and I recently discussed that it takes an Act of Congress to spend people’s money. Yet, President Trump has directed Treasury Secretary Scott Bessent and Howard Lutnick to find ways to acquire BTC in a budget neutral manner.”

Deaton also commented on the multi-crypto Strategic Reserve Asset debate:

“As for the MultiCoin debate and people disappointed, BTC has ALWAYS led the market. You can dislike it, but it’s reality. But less than a week ago, The PRESIDENT OF THE UNITED STATES posted how he believed XRP, SOL, ADA, ETH, and “other cryptocurrencies”, along with BTC, were strategic to American interests, moving forward.”

Despite concerns, Deaton remained optimistic:

“Compared to two years ago, or compared to November 4, 2024, I’d say the ENTIRE Crypto Industry should be pretty damn pleased.”

XRP Price Trends: SEC Appeal and XRP-Spot ETFs in Focus

On Friday, March 7, XRP tumbled 8.23%, reversing Thursday’s 3.94% rally to close at $2.3861. XRP saw heavier losses than the broader market, which fell 3.21% to a total market cap of $2.8 trillion.

President Trump’s SBR Executive Order and uncertainty about the SEC’s appeal plans triggered the sell-off.

Near-term XRP price trends will hinge on several factors:

• US Strategic Reserve Asset: Renewed consideration for a multi-crypto reserve could lift XRP sentiment.
• SEC Appeal Strategy: A decision to drop the appeal could push XRP past its $3.55 all-time high, while ongoing legal uncertainty may drag prices below $1.50.
• XRP-Spot ETF Developments: Regulatory approval of an XRP-spot ETF could drive institutional inflows, pushing prices toward $5. Progress toward an XRP-spot ETF market could hinge on the SEC’s appeal strategy. The SEC could disapprove XRP-spot ETF applications if it plans to pursue the appeal.

Read expert analysis on what could drive XRP to new highs here.

Bitcoin Drop Below $85k Amid Tariff Uncertainties and Recession Jitters

On March 7, BTC fell below $85k as investors reacted to the US Jobs Report, which signaled higher unemployment. While a weak labor market could support bets on multiple 2025 Fed rate cuts, it also raised fears about a US recession.

After the US Jobs Report, BTC briefly climbed to a March 7 high of $91.148 before sliding to the $85k level. A weaker labor market may impact wage growth, consumer confidence, and spending. Contributing over 60% to US GDP, a pullback in spending could affect the economy.

Trump Greenlit the US Strategic Bitcoin Reserve

The Executive Order, titled the Establishment of the Strategic Bitcoin Reserve and United States Digital Asset Stockpile, states the Treasury Secretary must:

• Create an office to control BTC holdings held by the Treasury Department as part of criminal or civil asset forfeiture proceedings.
• Establish an office to control custodial accounts known as the United States Digital Asset Stockpile, comprising all digital assets (except BTC), held by the Treasury Department as part of criminal or civil asset forfeiture proceedings.
• Develop budget-neutral BTC acquisition strategies with the Secretary of Commerce that do not burden US taxpayers.

John E. Deaton voiced surprise at the market’s reaction:

“I’m surprised BTC isn’t $120K already.”

Meanwhile, US Treasury Secretary Scott Bessent could push for the Bitcoin Act. Senator Cynthia Lummis, absent from the Crypto Summit due to illness, introduced the Bitcoin Act after Trump’s election win. The bill proposes the US government acquire one million BTC over five years, with a 20-year holding period. The Bitcoin Act could shift the supply-demand balance significantly in BTC’s favor.

Bitcoin Price Scenarios: Key Levels to Watch

On March 7, BTC slid by 3.53%, following Thursday’s 0.75% loss, closing at $86,782. US labor market data, tariff policies, and recession fears fueled US BTC-spot ETF market outflows, pressuring BTC.

Potential price scenarios:

• Bearish: Trade tensions rise, lawmakers oppose the Strategic BTC Reserve, and BTC-spot ETF outflows accelerate, pushing BTC toward $80K.
• Bullish: Trade tensions ease, lawmakers support the reserve, and ETF inflows grow, driving BTC toward $109,312.

Market Outlook: Catalysts Driving Crypto Trends

Several factors will influence crypto market sentiment in the near term:

• SEC Appeal Decision: A withdrawal could trigger a broad crypto rally.
• US Tariff Policy & Inflation: Higher tariffs may delay Fed rate cuts.
• US Economic Data: Key inflation reports will impact Fed policy.
• Strategic BTC Reserve: Progress toward a national SBR could accelerate institutional adoption.
• BTC-Spot ETF Flows: Institutional demand remains a key price driver.

A potential SEC withdrawal from the Ripple appeal could be a major bullish catalyst for XRP and the broader market. Meanwhile, US regulatory clarity will remain a key theme for institutional sentiment.

Stay updated with our latest insights here.