Author: Spirit, Golden Finance

Bitcoin, Ethereum and stablecoins are expected to benefit, but the risk of market volatility still exists

Washington, DC, USA - The upcoming White House Cryptocurrency Summit on March 7, 2025 is attracting significant attention and expectations in the crypto industry. The landmark summit, led by Trump, marks the first time the White House formally convenes leaders in cryptocurrency regulation and innovation, and indicates that the United States will enter the implementation stage of implementation in this field. Major cryptocurrencies such as Bitcoin, Ethereum, Ripple (XRP), Solana and Cardano, as well as stablecoins such as USDT and USDC, are expected to benefit from the summit. However, experts also reminded that the actual impact of the summit will depend on the final regulatory rules and potential market volatility.

Summit Overview: Cryptocurrency Stage

The White House Cryptocurrency Summit is scheduled to be held at the White House in Washington, DC, USA on Friday, March 7, 2025. This unprecedented roundtable highlights the increasing emphasis on the cryptocurrency industry and its willingness to shape the future development trajectory of the industry.

The summit was carefully planned by key internal figures, including David Sax, head of Artificial Intelligence and Cryptocurrency at the White House and Beau Hines, executive director of the Digital Assets Working Group. President Trump will personally address the participants, further emphasizing the importance this session attaches to the initiative.

The conference will involve a wide range of representatives from all walks of life, including senior officials such as President Trump, Sachs and Hines, as well as important industry leaders. Confirmed attendees included influential figures such as MicroStrategy executive chairman Michael Sailer, Ripple CEO Brad Garlinghouse, Paradigm’s Matt Huang, Bitcoin Magazine’s David Bailey and Exodus CEO JP Richardson. Although speculation that other key figures such as Chainlink co-founder Sergey Nazarov may also be involved, the official list of participants has not yet been officially released.

Core Topic: Exploring Regulation and Innovation

The agenda of the Summit is expected to cover multiple key topics that are shaping the current landscape of the cryptocurrency industry:

Clarification of regulatory frameworks: Establishing a clear and supportive legal framework is the primary goal. David Sachs had previously emphasized the importance of "staying innovation in the United States", indicating that regulatory discussions will be the focus of this summit. The goal is to provide the necessary investor protection while promoting innovation, striving to strike a balance between the two.

Stablecoin regulation: Stablecoins are expected to become an important topic of discussion. Sax has suggested that stablecoins may play a key role in “expanding the international dominance of the dollar,” suggesting that the summit will focus on how to develop a regulatory framework that enables stablecoins to effectively reduce potential risks while thriving.

Cryptocurrency Strategic Reserve:President Trump's "strategic reserves" plan is likely to become the focus. The plan may involve incorporating assets such as Bitcoin, Ethereum, Ripple, Solana and Cardano into their strategic reserves. While the proposal has sparked excitement in some areas, experts have raised questions about its feasibility and potential impact.

Market Structure and Investor Protection: The Digital Assets Working Group is expected to issue findings and recommendations on market structure, regulatory oversight and investor protection. The goal is to create a sound market environment that balances innovation with risk management and consumer protection.

Experts forecast the impact of specific assets

Industry experts and key opinion leaders (KOLs) are actively predicting the potential results of the summit and their impact on specific crypto assets:

Bitcoin (BTC): Michael Sailer, a staunch supporter of Bitcoin, believes that as a core asset of strategic reserves, Bitcoin may further gain legitimacy due to support, and the price is expected to rise by 10%-20%. He predicts that the summit may prompt more institutional investors to enter the Bitcoin market, thanks to the scarcity and long-term value proposition of Bitcoin.

Ethereum (ETH): Citibank analysts predict that Ethereum, like Bitcoin, may benefit from strategic reserve plans, increase market legitimacy, and increase market value.

Ripple (XRP): Ripple CEO Brad Gallinhouse believes that a clearer regulatory framework for stablecoins may benefit XRP, citing XRP’s efficiency in cross-border payments.

Solana (SOL) and Cardano (ADA): The Coin Bureau co-founder Nick Parklin believes that the inclusion of Solana and Cardano in strategic reserves could trigger price increases in the near term. But he also reminded that the assets themselves are highly volatile and emphasized the need to carefully analyze the specific implementation details of any reserve plan.

Stablecoins (USDT, USDC): Grayscale Investments predicts that if the summit promotes a sound regulatory framework, the market stability of stablecoins such as USDT and USDC will be enhanced and may attract more institutional capital inflows. Coinbase predicts that the positive outcome of the summit may drive the passage of the FIT21 bill, which will benefit the entire cryptocurrency market and may cause the share prices of exchange-related assets such as COIN to rise.

Change and Market Background

As the White House Cryptocurrency Summit was held, the crypto asset regulatory environment is undergoing changes:

Biden Period: The former adopted a more cautious and law-enforcement attitude towards cryptocurrency regulation, aiming to protect consumers from fraud and money laundering risks. However, this position has also attracted some criticism that it may curb innovation.

Trump's Pro-cryptocurrency Position: President Trump has positioned himself as a pro-cryptocurrency president and has received strong support from the cryptocurrency industry during the 2024 campaign. After taking office, he signed Executive Order No. 14178, ensuring the U.S. leadership position in the global digital economy by revoking Biden’s 2022 Executive Order on Regulation of Cryptocurrency (EO 14067), establishing the “Digital Asset Market Presidential Working Group” to evaluate and adjust the regulatory framework, reduce regulatory barriers, and promote innovation, and clearly support the development of digital financial technology, ensuring the U.S. leadership in the global digital economy. It shows that the shift to supporting “responsible growth” in digital assets has actually reversed the previous part.

Current market conditions: When this summit was held, the cryptocurrency market was dragged down by the strengthening correlation with the US stock financial market. Bitcoin has fallen 22% since its record high on President Trump's inauguration day, reflecting investors' concerns that the "Trump effect" may fade. Current market sentiment is generally sluggish, with the cryptocurrency fear and greed index hitting its lowest point since 2022. Therefore, many people regard this summit as a key opportunity to revive market confidence.

Expected results and market impact: Hope coexist with volatility

Although the specific results of the summit remain to be seen, potential announcements and directions may include:

Regulatory Framework Announcement: The summit may release a new, comprehensive legal framework for digital assets that clarify the classification of cryptocurrencies (securities or commodities) to provide the industry with much-needed clarity.

Stablecoin Measures: Specific proposals for stablecoin regulation are expected to be issued, which may emphasize the strategic role of stablecoins in international finance and outline the issuer's regulatory requirements.

Strategic Reserve Plan Refinement: President Trump’s proposal for cryptocurrency strategic reserves may be further elaborated, including specific details of asset selection and funding mechanisms. However, experts remain skeptical about the feasibility and economic impact of the plan.

Legal recommendations: The summit could serve as a platform for calling on Congress to take legislative actions related to cryptocurrencies, such as measures to support Bitcoin reserves. At least 24 states have reportedly introduced Bitcoin Reserves Acts, but these bills are largely considered symbolic at this stage.

Market and Industry Impact: Harnessing Hope and Volatility

The potential impact of the White House Cryptocurrency Summit on the market and industry is multifaceted:

Positive Catalyst: If the summit can release a clear and supportive regulatory framework, it may significantly boost investor confidence and trigger a rise in cryptocurrency market prices. Analysts at FXStreet believe the summit could “cause a positive cryptocurrency regulatory ripple effect.”

Market uncertainty: On the contrary, if specific details cannot be issued immediately, or any signal interpreted as excessive regulation tightening may exacerbate the current market selling pressure and uncertainty, especially in the implementation and investment of strategic reserve plans.There are still many uncertainties in the source of gold.

Long-term growth trajectory: In the long run, if the summit creates a favorable regulatory environment, it may attract more companies to develop blockchain technology locally in the United States, thereby consolidating the United States' leadership in the global cryptocurrency market.

Conclusion: Critical moment of cryptocurrency regulation

The White House Cryptocurrency Summit is a critical moment in the development of the US cryptocurrency industry, indicating that under Trump's leadership, US cryptocurrency regulation may turn to a more supportive direction of innovation. Although the summit contained hopes of clear regulation and market recovery, the inherent uncertainty of the results and the uncertainty of the strategic reserve plan still require us to remain cautious about the market prospects. The coming days and weeks are crucial to assessing the real impact of this summit and its implications for the future development of digital assets.

White House Cryptocurrency Summit: Key Details