Matt Hougan, an investment manager at Bitwise, believes that the market has misunderstood the announcement of the creation of strategic reserves for digital currencies by the US government. Following Trump’s announcement of forming a group to advance this plan, the prices of digital currencies initially rose but then dropped with the introduction of new import tariffs. Hougan says the market has become disillusioned with the inclusion of currencies other than Bitcoin in these reserves, but this may change in future negotiations. He believes this move could lead to a global competition for storing digital currencies, with governments acting as long-term investors. Hougan predicts that ultimately, a version of this plan will be implemented, and the market will recognize the strategic importance of US government-recognized digital currencies.
