One Year In | Trumpโs Presidency | Crypto Sentiment Shifts
Edited By
Elisa Martinez
As of January 2026, the sentiment among crypto enthusiasts is trending downward just over a year into Donald Trump's presidency. The shift from optimism to exhaustion raises questions about the future of crypto amid political influences.
Market Sentiment Post-Election
Following Trumpโs election victory on November 6, 2024, market sentiment surged.
January 2025 Peak: Anticipation for a favorable regulatory environment was at its highest.
Post-Inauguration Decline: From January 20 onward, the atmosphere shifted. Hope faded as the market experienced fewer strong rallies.
Key Events Impacting Sentiment
A notable inflection occurred on October 23, 2025, when Trump pardoned CZ, a prominent figure in the crypto world. Despite this seemingly positive event, sentiment dipped below pre-election levels.
"The charts don't lie," stated one person in a recent forum discussion. This sentiment encapsulates the growing frustration with the market's reaction.
As of late January 2026, voices in the community suggest that the current sentiment reflects not just fear but a broader exhaustion. A user remarked, "At the beginning, everything was on a sugar high," indicating shaky foundations beneath early optimism.
Community Reactions and Themes
Community responses highlight three main themes:
Distrust in Leadership: Many believe that Trump favors crypto only for personal gain.
Market Realities: Some argue that market behavior is more influenced by liquidity than presidential choices.
Short-term Focus: Critics point out that initial enthusiasm lacked solid backing, leading to inevitable corrections.
Key Points to Consider
๐ฝ Current sentiment remains near record lows, nearly identical to previous highs.
๐ "He only cares about Crypto for him and his family," one commenter noted.
โ๏ธ "Completely irrelevant given that the market is liquidity driven," stated another, shedding light on the debate surrounding political influence on crypto prices.
The dynamic nature of crypto markets poses the question: will sentiment improve, or are we witnessing a preparation phase for a next cycle? Only time will tell as 2026 unfolds.
The Road Ahead for Crypto Sentiment
As sentiment in the crypto market remains low, experts estimate a considerable chance of a gradual recovery by mid-2026. This optimism hinges on potential regulatory adjustments that could emerge from the administration's evolving stance on digital currencies. A 60% likelihood exists that favorable conditions could lead to renewed market rallies, sparked by improvements in liquidity and investor confidence. However, lingering distrust in leadership may temper enthusiasm, suggesting that only a robust, clear strategy from political leaders will reignite the fervor seen in early 2025.
Revisiting the Tech Boomโs Rollercoaster
Reflecting on the late 1990s dot-com bubble, one can draw intricate parallels with today's crypto landscape. At that time, the market surged on initial excitement over technology's potential, yet many companies lacked fundamental strength, leading to a sharp collapse. Just as that era saw a shaky resurgence fueled by better business models and clearer regulations, crypto might similarly find its footing. If lessons from that period hold, only firms with solid foundations and innovative strategies are likely to thrive in the long run, hinting that today's skepticism may pave the way for a stronger, more mature market tomorrow.