Bitcoin has dropped below $100,000 following Trump's directive on cryptocurrencies, according to Bloomberg.

Bitcoin fell below $100,000 following Trump's order regarding the potential establishment of a national cryptocurrency reserve.

This was reported by Bloomberg.

It is noted that Bitcoin dropped more than 6.5% on the morning of January 27 in Europe, falling below $98,000 before recovering slightly. 

Meanwhile, smaller tokens like Solana and XRP, which had surged after Donald Trump's election victory, experienced even steeper declines of approximately 11% and 14%, respectively. Ethereum, the second-ranked token, at one point lost over 8%. 

The drop occurred after U.S. President Donald Trump tasked a working group with advising the White House on cryptocurrency policy. This group is assigned to develop a regulatory framework for digital assets in the U.S. within six months and assess the feasibility of creating a cryptocurrency reserve.

Bloomberg notes that the order does not guarantee the establishment of a Bitcoin reserve, despite Trump promising it during his campaign.

On January 24, the digital asset market reacted positively to the order, initially showing a slight increase.

Overall, Bitcoin has risen more than 50% since Trump won the election in November, as he had previously expressed intentions to make the U.S. a global cryptocurrency hub.

As of 7:54 AM in London on January 27, Bitcoin was trading at $99,227.

Background. Earlier, Mind reported that Trump wants to establish a national reserve of cryptocurrencies. The U.S. President signed the relevant order.