US President Donald Trump signed an order allowing Americans to include digital assets like Bitcoin and Ethereum in their 401(k) retirement accounts. This decision has spurred growth in the cryptocurrency market and opens new opportunities for investors.
Trump's Order on 401(k) and Digital Assets
The order signed by Donald Trump will allow individuals to include alternative investments, such as private equity, real estate, and cryptocurrency, in their 401(k) accounts.
Analysts' Opinions on Market Impact
Tom Dunleavy from Varys Capital states that this decision could lead to billions of dollars in new investment flows into digital assets. He noted that if just 5% of current funds directed into 401(k) were allocated to cryptocurrencies, it could attract billions into this asset class.
Investment Prospects in Cryptocurrencies
According to Ryan Rasmussen from Bitwise, both short-term and long-term prospects for cryptocurrencies like Bitcoin and Ethereum appear promising. He noted that if cryptocurrencies capture even 1% of 401(k) assets, it could lead to a capital influx of $125 billion.
The signed order could significantly impact the cryptocurrency market, opening new horizons for investors and potentially leading to substantial long-term investment flows.
