XRP, Solana, Cardano Jump. What's Next After Crypto Reserve News. — Barrons.com

By Elsa OhlenPresident Donald Trump's creation of a strategic reserve of digital coins could signal that the crypto industry is entering a new phase where its role in the U.S. financial system looks fundamentally different.Cryptocurrencies across the board rose Monday after President Donald Trump announced he would create a strategic reserve of XRP, Solana, Cardano, Ethereum and Bitcoin.XRP, the popular altcoin used to facilitate and settle transactions on Ripple's payment platform, is up 18% to $2.63 over the past 24 hours, according to CoinDesk data, however, is down from a 24-hour high of $2.99 on Sunday."A U.S. Crypto Reserve will elevate this critical industry after years of corrupt attacks by the Biden Administration, which is why my Executive Order on Digital Assets directed the Presidential Working Group to move forward on a Crypto Strategic Reserve that includes XRP, SOL, and ADA," Trump wrote in a post on Truth Social Sunday. He later added that Bitcoin and Ethereum would also be included.Crypto assets have slumped in recent weeks amid weakness in the broader stock market and, until now, disappointment that the Trump administration hadn't yet announced more favorable crypto policies, including a crypto reserve."This announcement triggered a strong surge in the prices of these digital assets, reflecting the profound impact of government policies and regulatory trends on the market," said trading platform XS.com's market analyst Rania Gule. "[It] represents an unprecedented shift in how governments perceive cryptocurrencies."Solana is up 13% to $159.75 while Cardano climbed 48% to $0.9626 — both currencies also having pulled back from their 24-hour highs, which may be indicative of investors taking home profit or moving assets to less established coins."These price jumps are not merely a reflection of investor enthusiasm; rather, they come amid regulatory trends that could reshape the global financial landscape," Gule said.While noting that questions marks remain around the actual implementation of a reserve, Gule says a crypto stockpile may add to their institutional legitimacy and potentially unlock massive investment inflows from financial institutions.Trump is hosting the first White House crypto summit on March 7 to discuss regulatory policy and crypto's role in the U.S. financial system. Attendees will include founders, CEOs, and investors from the crypto industry, according to AI and crypto czar David Sacks, who will also chair the meeting.Write to Elsa Ohlen at [email protected] content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.