Cryptocurrencies traded sharply lower sharply on March 10, with bitcoin crashing nearly 5 percent to trade at $81,920 (Rs 71.55 lakh) apiece, as US order on a strategic crypto reserve fell short of investor expectations.
On March 7, US President Donald Trump signed an executive order to set up a strategic crypto reserve and a stockpile of other digital assets.
White House crypto czar David Sacks said no taxpayer money would be spent to acquire cryptocurrencies for the reserve as it would be funded by bitcoin already owned by the government. This sparked concerns over what role the reserve would play without a proper allocated budget.
It also means the government will not spend a penny to buy additional cryptocurrencies.
Other cryptocurrencies declined sharply too. Ethereum was down nearly 3 percent at $2,118, while solana was down nearly 7 percent at $129 apiece. Ripple Labs-linked XRP dropped over 4 percent to $2.21 apiece.
Billionaire Elon Musk-favourite dogecoin tumbled nearly 7 percent to trade at $0.1763. Donald Trump’s memecoin dropped over 4 percent to $11.33 apiece.
Cryptocurrencies rallied briefly after Trump announced the addition of more coins to the crypto reserve earlier this month.
"I will make sure the US is the Crypto Capital of the World. We are MAKING AMERICA GREAT AGAIN!" he posted on his Truth Social platform.
The order he signed failed to impress analysts.
Bitcoin has seen a persistent decline over the past few weeks, tumbling nearly 25 percent after hitting an all-time high of nearly $109,000 in January when the "pro-crypto" president took office. The fall escalated as Tump’s tariffs rattled global markets.
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