After Trump signed the Executive Order establishing the Strategic Bitcoin Reserve (SBR), many were surprised to see Bitcoin’s price drop instead of skyrocketing.

To address this, JAN3 CEO Samson Mow posted an article on X explaining the market reaction and why the price fell despite this being a historic moment for Bitcoin.

After former President Trump signed the Executive Order establishing the Strategic Bitcoin Reserve (SBR), many anticipated a swift and significant surge in Bitcoin’s price. However, as reported by BTC Inc., the cryptocurrency experienced a decline instead.

Samson Mow, CEO of JAN3, took to X to explain the market reaction and why the price fell despite this being a historic moment for Bitcoin.

"As many expected, the Executive Order establishing the Strategic Bitcoin Reserve (SBR) did not lead to an immediate and dramatic increase in BTC's price. In fact, we saw a slight decrease in the short term," Mow explained.

He further noted that while some viewed this as surprising, it can be explained in both simple and complex terms.

"At its simplest, price decreases happen when more people are willing to sell at lower prices. In the short term, this selling pressure can be driven by several factors including:

* Short-term traders taking profits.

* Liquidations on derivatives exchanges.

* Tether issuance (which is used to buy BTC).

* Macroeconomic events (e.g., interest rate decisions). "

However, he highlighted the importance of considering the broader narrative.

"In the U.S., we have seen a bipartisan effort over the past 18 months to introduce bills for a U.S. Bitcoin standard at the initiative of Congressman Tim Draper and others," Mow explained.

"We also saw the support of the Republican candidates running for president in the last election. Even though Trump lost the popular vote to Biden, he won the Republican primary with over 70% of the vote and nearly all candidates supported a Bitcoin standard."

He went on to add that while Biden's administration has largely ignored Bitcoin, Trump's Executive Order is a significant development.

"It is no small feat to get an administration to focus on anything for more than a week. Yet, Trump has persevered with the construction of 'Fort Nakamoto' despite attempts by the establishment to derail it."

According to Mow, this persistence will pay off as the U.S. begins accumulating more Bitcoin and other nations follow suit.

"We could then see a global race to acquire BTC similar to what happened with ETFs."

Concluding his post, Mow stated that those who understand the story should plan accordingly.