Donald Trump’s presidency has ignited debates over whether he prioritizes cryptocurrency or forex markets.
While campaigning, Trump positioned himself as a “crypto president,” launching Trump Coin (TRUMP), 15 billion market cap before retreating to ~$42 amid volatility.
His administration has since enacted crypto-friendly policies, including an executive order to develop blockchain innovation and establish a regulatory working group, signaling support for digital assets.
Simultaneously, the U.S. dollar index (DXY) has strengthened to 109.28, near a 26-month high, driven by expectations of Trump’s inflationary trade policies (e.g., tariffs) and delayed Fed rate cuts.
Thierry Wizman, global foreign exchange and interest rates strategist at Macquarie, said when it comes to tariffs, traders are in a “wait-and-see” mode at best and, at worst, have been largely unwilling to give disinflation in the U.S. the benefit of the doubt.
While Trump’s crypto initiatives reflect personal stakes in the industry, his focus on tariffs and fiscal expansion underscores a dual impact: crypto gains regulatory clarity, while forex markets brace for volatility.
Traders foresee record activity in both arenas, dubbing Trump a “Crypto-Forex Hybrid President” as brokers prepare for surging demand.
