Amid the Donald Trump election win, the Bitcoin price rally resulted in creating a new ATH

Amid the hype surrounding Donald Trump and the news of his possible return in the upcoming election, the Bitcoin price rally has managed to garner global attention. The cryptocurrency nearly doubled in value over a few months, leading to record highs and an interest in Bitcoin ETF.

However, Coinbase executives have pitched a plan for the US government to buy $100 billion of BTC in 2025. Such a move would not only benefit the US strategically but could also trigger a massive Bitcoin rally, sending the price soaring to new highs.

The Coinbase executives are suggesting that the government could allocate a portion of the gains from revaluing its gold reserves to purchasing Bitcoin. Currently, the U.S. government still values the gold it holds in Fort Knox at $42 an ounce, a price set in 1934 during the administration of President Franklin D. Roosevelt.

If they were to mark that to current market prices, it would create a mark-to-market gain of roughly $900 billion. A $100 billion portion of that gain could be easily allocated to the Bitcoin buying for Donald Trump’s U.S. strategic Bitcoin reserve.

“Today, the U.S. government still values gold held in Fort Knox at $42 an ounce. If they mark that to current market prices, it would create a mark-to-market gain of roughly $900 billion or potentially even a trillion dollars. Out of this, the $100 billion is a relatively small portion of the $900 billion gain, so it’s a feasible, significant position. This would be a huge change, showing the government’s commitment to Bitcoin as a strategic reserve.”

The Coinbase exec pointed out that if the government included this in the upcoming administration’s agenda, it could be a strong message to the world. He noted that several countries, like China and Russia, are also interested in or already buying Bitcoin.

“It could also trigger other governments and institutions to do the same, much like how the U.S. initiative in the 1970s to sell its own gold holdings spurred other countries to do so as well, ultimately leading to the decline of the dollar gold standard.”

The government pivoting to also hold a portion of its reserves in Bitcoin would be a huge turning point in macroeconomic history. It would also be a strategic move to counter the rising influence of other world powers, especially in the financial domain.

This scenario would also create a natural floor in the Bitcoin price and encourage other institutions to follow suit, ultimately leading to a massive shift in the market. As more institutions integrated BTC into their portfolios, it would likely generate even more positive momentum for the cryptocurrency.

The Coinbase executives also highlighted the importance of considering the macroeconomic implications of such a move. With the government buying a large sum of BTC, it would reduce the availability of the cryptocurrency on the market. Since there’s a limited supply of Bitcoin, this action would likely put upward pressure on prices.

Moreover, if the U.S. began buying Bitcoin in a big way, it may induce an "arms race" among world powers to accumulate the cryptocurrency, much like the arms race during the Cold War.

This would generate enormous demand for Bitcoin, especially if other countries decided to follow suit and build their own strategic Bitcoin reserves. Such actions would likely have a significant impact on the cryptocurrency market and could send the price soaring to new highs.

However, the trajectory of the Bitcoin price would depend on various factors, making it difficult to predict exactly where it could reach.

But if we consider the fact that experts are already predicting the price to hit $200k by the end of 2025—despite not taking any government stimulus into account—then it seems like anything is possible.

For instance, Ark Investment Management has set a price target of $2.4 billion for Bitcoin by 2030, based on its own calculations and assumptions. This prediction takes into account several factors, including the cryptocurrency’s active supply, the so-called bull case scenario for Bitcoin, and the possibility of the U.S. government buying $100 billion of BTC in 2025 to create an "unipolar moment" for the U.S.

This scenario would also create a natural floor in the Bitcoin price and encourage other institutions to follow suit, ultimately leading to a massive shift in the market. As more institutions integrated BTC into their portfolios, it would likely generate even more positive momentum for the cryptocurrency.

However, the trajectory of the Bitcoin price would depend on various factors, making it difficult to predict exactly where it could reach.

But if we consider the fact that experts are already predicting the price to hit $200k by the year’s end—despite not taking any government stimulus into account—then it seems like anything is possible.

For instance, Ark Investment Management has set a price target of