XRP News Today: Kraken Judge Challenges SEC’s Broader Crypto Argument; BTC at $101K

Explore our expert analysis here on the SEC’s next move and its implications for XRP’s future.

Bitcoin Holds Above $100K:

Meanwhile, bitcoin (BTC) faced selling pressure as investors considered US President Trump’s executive orders (EO). On January 23, President Trump signed an EO, establishing the Presidential Working Group on Digital Asset Markets. One of the key tasks will be to evaluate the creation of a strategic national digital assets stockpile.

The EO did not refer to a Strategic Bitcoin Reserve (SBR), fueling uncertainty about BTC becoming a strategic reserve asset. However, the EO and the requirements to classify a BTC as a national strategic reserve asset differ. Amicus Curiae attorney John E. Deaton recently highlighted the procedural differences between a stockpile and SBR, stating,

“I’ve been saying for some time: What’s your definition of a SBR? President Trump, via EO, can order that all seized BTC (or any other seized digital asset for that matter) be held in escrow and not sold. If you call that a SBR, then I’m confident we get one. If by SBR, you mean the USG buying BTC, it will take an act of Congress, like the Senator Cynthia Lummis Bill.”

The Bitcoin Act: Work in Progress

Senator Cynthia Lummis introduced the Bitcoin Act in late 2024, proposing the US government acquire one million BTC over five years, with a mandatory holding period of 20 years.

Approval hinges on consensus among Congress, the Federal Reserve, the Treasury Department, and the President. The approval process underscores the need for a Presidential Working Group on Digital Asset Markets to present convincing arguments supporting an SBR to Congress and the Fed.

Anthony Scaramucci speculated about the potential for a US SBR ahead of Trump’s inauguration, saying:

“They’ll probably buy another four or five hundred thousand BTC. Let me tell you why I think it will happen ok. Trump wants it to happen and he’s got the Senate Banking Committee. Tim Scott wants it to happen. He’s going to be the chair of the Senate Banking Committee. Bessent wants it to happen.”

Scaramucci was also optimistic about Congress voting for an SBR, referring to the bipartisan vote to withdraw Staff Accounting Bulletin (SAB) 121.

While BTC struggled for direction over the weekend, US BTC-spot ETF flow trends reflected market hopes for a US SBR. The US BTC-spot ETF market reported total net inflows of $1,758 million in the week ending January 24. Significantly, the BTC-spot ETF market has seen total net inflows of $15,704 million since Trump’s election victory.

Bitcoin Price Outlook

On Sunday, January 26, BTC declined by 2.09% after slipping by 0.02% on Saturday to close at $102,656. Despite Sunday’s retreat, BTC avoided sub-$100k levels for the sixth consecutive session. Resilient BTC demand indicates markets’ confidence in a potential US SBR.

BTC’s price trends hinge on Trump’s executive orders, SBR developments, and US BTC-spot ETF flows.

US BTC-spot ETF inflows and progress toward a US SBR could drive BTC beyond the record high of $108,231. Conversely, slow progress toward an SBR and BTC-spot ETF outflows could pull BTC toward $95k.