If Trump Is the ‘Crypto President,’ Why Is Bitcoin Down?

The 2024 election saw President Donald Trump positioning himself as a strong advocate for decentralized finance, branding himself as “the crypto president” during fundraising events. However, since his second term began in January 2025, the crypto market has experienced a significant downturn, with prices of coins and tokens plummeting from their all-time highs.

President Trump’s campaign promises included supporting bitcoin mining, opposing central bank digital currencies, and advocating for self-custody rights. These promises garnered millions of dollars in donations from the crypto community. Trump even launched his own crypto venture, World Liberty Financial, with its native token $WLFI aiming to revolutionize the financial industry by challenging traditional financial institutions.

Despite these efforts, the crypto market finds itself in the midst of its fourth major crypto winter, characterized by a bear market for digital assets. The market downturn can be attributed to various factors, including rising inflation, expectations of interest rate hikes by the Federal Reserve, and a shift in investor focus towards other tech trends like AI.

Since Trump assumed office in 2025, major cryptocurrencies like bitcoin and ethereum have seen significant price drops of 40% and 50% respectively. Other assets like Binance, XRP, and Solana have also experienced substantial losses. Even Trump’s own branded tokens, $TRUMP and $WLFI, have not been immune to the market downturn, with prices falling sharply since their inception.

Despite the crypto market challenges, President Trump has managed to increase his fortune through his crypto dealings. A financial disclosure filed with the U.S. Office of Government Ethics revealed that Trump made $1.4 billion in 2025 from his crypto ventures. This income came from licensing agreements, token sales, and equity stakes in crypto companies.

While Trump’s financial success in the crypto space has raised ethical concerns, his income from crypto transactions has far surpassed earnings from other ventures he promoted during his second term. Trump Watches, limited-edition Trump guitars, and Trump sneakers and fragrances generated significantly lower revenues compared to his crypto dealings.

Overall, the crypto market’s struggles under President Trump’s second term highlight the challenges and uncertainties facing the industry. Despite initial optimism and promises of a crypto revolution, the market’s current downturn underscores the volatile nature of digital assets and the need for careful navigation in this evolving landscape.