ADA Spikes 60%, XRP Up 25% on Trump’s Reserve Move, But Traders Hold Back

Donald Trump is set to host the inaugural White House Crypto Summit on March 7, where he will outline his administration’s vision for cryptocurrency regulation and economic integration.

Market excitement surged on Sunday after Trump proposed a national strategic reserve featuring Solana (SOL), Cardano (ADA), and XRP, sending prices soaring by up to 60%. Despite the rally, traders remain cautious, awaiting more concrete policy details before making long-term moves.

“While the market is reacting positively, a period of correction is likely as investors weigh the feasibility of Trump’s proposal,” said Kevin Guo, director of HashKey Research, in a Telegram message to CoinDesk. “There are still significant legal and structural challenges, as Federal Reserve Chairman Jerome Powell has stated that the central bank is restricted from holding Bitcoin in reserve. This raises questions about how a government-backed crypto reserve would function.”

Guo added that Trump’s upcoming Crypto Summit could bring further clarity, potentially introducing additional measures to support the industry.

Late Sunday, Trump announced via Truth Social that XRP, SOL, and ADA would be part of the U.S. strategic crypto reserve. Shortly afterward, he expanded the list to include Bitcoin and Ethereum, echoing promises made during his 2024 presidential campaign.

The market reacted swiftly, with Bitcoin climbing 6.5% to exceed $93,000 on Monday, while the broader CoinDesk 20 (CD20) index saw a 7% jump.

Other major altcoins, including Chainlink (LINK), Uniswap (UNI), and Movement (MOVE), recorded an 8% increase in the past 24 hours, partly due to their affiliation with World Liberty Financial, a firm reportedly connected to the Trump family.

Despite the positive price movement, some analysts caution that the rally may be premature.

“There’s still uncertainty surrounding the implementation of a strategic reserve,” said Chris Yu, CEO of SignalPlus, in a Telegram message to CoinDesk. “However, the market sentiment has shifted rapidly, indicating a potential continuation of the bullish trend.”

Yu emphasized that investors will closely monitor U.S.-traded crypto ETFs, which recently saw record outflows. A reversal in this trend could signal renewed confidence and a more sustainable market upswing.