State Reserve Could Create A Tremendous Buying Spree Of Over $23 Billion, Says Van Eck

With rapid growth and adoption kickstarted with Trump’s reign, almost half of the state governments in the US either have already put their money on crypto, especially BTC, or are in the process of doing so. This new development puts the overall State reserve bills at a whopping $23 billion.

In this article, we will look into this recent development in the US and what it entails. Furthermore, we will also look at how it will impact the wider crypto economy.

Growing Crypto Adaption Of The US States

The number of US states pushing for a Bitcoin reserved fund amounts to 14, almost half of the US. It all began with the Utah House Committee passing the states the right to invest their public funds into the crypto sector. Currently, 21 states plan to broaden their investment in the crypto market. These state investments primarily concentrate on the original crypto and other USD-backed stablecoins. 

As Trump’s reign progresses, the number of states proposing the Bitcoin BTC investments will likely go up. This speculation has somewhat been solidified considering that many countries like Arizona, Pennsylvania, Utah, and Texas are currently looking into various legislations allowing them to use open public funds for buying crypto assets.

Van Eck Predicts $23 Billion BTC Accumulation

Van Eck, a renowned global investment firm, has predicted that the laws proposed to create strategic BTC reserves in the US states could significantly result in buying about $23 billion worth of BTC if passed. This analysis was based on the 20 state-level Bitcoin reserve bills that Van Eck could get their hands on.

Based on the reports from their research, it was found that the bills would require the states to make a collective purchase of about 247,000 BTC in case it’s approved. This was revealed in a recent X post made by Mathew Sigel on the 12th of February 2025. However, it should be noted that this analysis doesn’t take into account the BTC purchases by state pension funds. 

All that being said, it also implies that adding BTC to state retirement funds would spur the above-said demand for BTC. Sigel also conveyed that the $21 billion mark is “potentially conservative” as many states still haven’t specified their corresponding funding size.

BTC Grows In Demand With Each Month

Driven by growing government and institutional demand, Bitcoin is slowly on the way to “becoming a mainstream reserve asset”. In addition to these state reserves, there have also been plans to establish a national reserve for the original cryptocurrency as well. This could further boost the already surging adoption rate of cryptocurrencies, especially BTC.

Per the latest reports, over 150 companies are currently in the process of accumulating BTC to their treasuries, especially as the data from BitcoinTreasuries.NET has unveiled cryptocurrencies as an inflation hedge. Per these facts and other market trends, experts claim that BTC could propel the crypto market to greater heights than the ones we have only imagined.

BTC Current Market Performance & Future Outlook

In the last 24 hours, the BTC has risen over 1% and is trading at $96,041. The coin is currently ranked #1 on its overall market capitalization, estimated to be $1.9 trillion with a circulating supply of $19.82 million tokens. The coin has maintained a resistance level of $94K while facing steady resistance whenever it tries to go over the $102K range in the past week.

However, BTC’s future looks extremely bright, especially with Trump in charge. With a Fear and Greed Index of 70, market analysts and expert analysts predict that the coin could very well soar over the $177K mark by the end of this year. But if the national BTC reserve becomes a reality, this price increase means nothing, Bitcoin’s price could blow through the roof. Further updates regarding this matter will be the key factors in deciding Bitcoin’s gain in the market.