Creating a strategic cryptocurrency reserve in the United States can boost Bitcoin (Btc) Market capitalization by nearly 25%, or approximately $ 460 billion, according to a sygnum bank review shared with cointelegraph.
US president Donald Trump’s plans for a national crypto stockpile, along with similar proposals to full dozens of US states, could trigger a multibillion-dollar spree purchase with 20x multiplier in bitcoin prices, according to Sygnum, a Crypto Asset manager.
“Because the liquid supply of Bitcoin is very small (…) greater flow caused by upward price shocks,” said Latter Tischhauser, head of Sygnum research, Cointelegraph said.
Tischhauser added that the purchase of the federal or state of the Bitcoin government is “likely to undergo another wave of provision from institutional investors,” not to mention overseas governments.
Institutional capital flow conducts a “multiplier effect” on the price of the BTC area, with every $ 1 billion worth of net inflows in funds exchanged by funds (ETF) driving approximately 3-6% price transfer, sygnum Says In the Crypto Market Outlook report 2025.
Institutional flows tend to drive prices for Bitcoin. Source: Sygnn Bank
Planned crypto reserves
On March 2, Trump confirmed his commitment to creating a US crypto stockpile holding Bitcoin, as well as altcoins such as Ether (Eth) and Solana (Sol), among others.
Crypto markets moved forward following Trump’s announcements, but Surrendered the gains later on Sunday As macroeconomic unease and a floating trade war occurred on stage.
Trump has endorsed the idea of a national crypto pool since July 2024, when US senator Cynthia Lummis built a Bitcoin Act, suggesting a US reserve specifically for Bitcoin. More than half of US states have planted proposals to create similar reserves at a state level.
State of bitcoin reserve bills. Source: Vaneck
However, development is uneven. Five states that declined the crypto reserve plans, Tischhauser said. Meanwhile, creating a federal crypto stockpile may require approval of Congress, a long and uncertain process.
“(T) he is currently dating the possibility (of a national bitcoin stockpile) which is relatively low” due to challenges including confusing messaging and legal hurdles, Little Tischhauser, head of Sygnum research, told the cointelegraph.
“(A) NY’s positive surprise will be bullish for the price of Bitcoin,” Tischhauser said.
The White House aims to reveal more details about plans during the March 7 Crypto Summit, according to US Commercial Secretary Howard Lutnick.
He suggested that Bitcoin would have a special status in the US crypto reserve, which would include ETH, Solana, XRP (XRP) and cardano (Ada).
“The level of support derived from the administration is bullish for sure but calling it a strategic reserve has created a lot of confusion,” Tischhauser said.
“With the integration of other tokens, I think we are talking about a suggested direct US government investment in the industry.”
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