BTC is currently in a complex interaction of opposing forces. Technically, the daily reversal indicator reached oversold levels last week, suggesting potential support, while the weekly indicators still indicate that BTC remains overbought. On the macroeconomic front, adverse factors such as tightening liquidity and the hawkish stance of the Federal Reserve have brought bearish sentiment. At the same time, bullish drivers such as expectations of the US establishing a BTC reserve and the pro-crypto Trump administration taking office provide support.
In the past week, after Trump's inauguration, his BTC strategic reserve plan may provide support for market confidence, but the source of funding remains a major obstacle. Meanwhile, the acceptance of crypto assets has increased significantly, with the TVL of the RWA protocol exceeding $7.3 billion, and the proportion of government securities has increased significantly, indicating a continued preference for low-risk digital assets in the market.
Trump's Inauguration, His Strategic Reserve Plan May Provide Confidence Support for BTC
On January 20, Trump took office, and his government's potential BTC strategic reserve plan has become a focus of market discussion. The market generally believes that if the US includes BTC in its national reserves and commits to holding it long-term, it will further attract institutional investors to participate. However, the actual effect of this confidence boost may be limited.
The core obstacle to the strategic reserve plan lies in the source of funding. The US's current fiscal situation is exceptionally tight, and the annual debt interest expenditure has become a heavy burden. Over the next decade, the US's fiscal space is expected to continue to narrow, making it almost impossible to purchase BTC through additional debt issuance.
In the absence of the ability to advance through traditional fiscal means, a market-based model may become a solution. The token fundraising model previously attempted by Trump, although highly controversial, provides a reference for "sandbox testing" of similar reserve plans. These paths may provide more realistic solutions for the BTC reserve plan.
$TRUMP Drives Solana DEX Trading Volume to All-Time High
The market frenzy sparked by OFFICIAL TRUMP ($TRUMP) has driven a surge in the usage of the Solana DEX. In January 2025, the trading volume of the Solana DEX reached 268% of the ETH DEX, compared to only 53% in the same period last year.
With the expansion of the Solana DEX ecosystem, ETH's market share is facing greater pressure. Solana, with its low transaction costs and increasingly stable network, has become an important competitor in the decentralized trading market.
RWA Protocol TVL Exceeds $7.3 Billion, Government Securities Proportion Rises Significantly
According to The Block data, on January 22, the TVL of the RWA protocol reached $7.3 billion, an increase of over 200% year-over-year. Among them, Usual Protocol and Hashnote USYC rank among the industry leaders with TVLs of around $1.48 billion respectively.
Currently, government securities account for about two-thirds of the total RWA TVL, a significant increase from 36% a year ago. This shift indicates that investors' confidence in compliant, government-supported digital assets has increased, and also reflects the market's preference for low-risk traditional financial instruments, marking the gradual maturation of this field.
As the RWA protocol focuses on government-supported asset categories, its growth trajectory shows that blockchain financial instruments are gaining institutional recognition and exhibiting a strong demand for lower-risk assets in the current market environment.
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