One month after taking office, the ‘Trump trade’ is starting to be discarded by traders as the crypto craze fades

Feb. 20 (Bloomberg) -- A month into Donald Trump's second term, the euphoria over everything from stocks to the U.S. dollar to bitcoin is fading, according to Golden Ten. Previously Crypto assets soared as the industry backed Trump, who promised to create a friendlier regulatory environment. But those gains have waned as there haven't been many new developments to continue the bullish sentiment. For example, Trump's campaign promise to create a national bitcoin reserve has yet to materialise, with White House crypto and artificial intelligence chief David Sacks saying this month that an internal working group would need to look into the feasibility of the plan. Bitcoin rose about 50 per cent in the two months after the election. But since reaching a high of more than $100,000 in January, it had fallen to near $97,000 as of Thursday. Scandals involving cryptocurrencies such as Libra have also weakened investor interest in cryptocurrencies, with Matthew Hougan, chief investment officer at Bitwise, saying, ‘There's a very negative vibe in the cryptocurrency market right now.’