Weedcoin Jumps In Minutes After Trump’s Marijuana Shake-Up Speculation Sparks Sector Frenzy

• Weedcoin surged over 6% within an hour after a report that the Trump administration may reclassify marijuana, signaling a potential policy shift.
• The move would downgrade marijuana from Schedule I, easing research restrictions without fully legalizing it at the federal level.
• Despite the rally, retail sentiment around WEEDCOIN remained in ‘bearish’ territory, accompanied by ‘normal’ levels of chatter on Stocktwits.

Weedcoin (WEEDCOIN) shot up more than 6% in less than an hour on Wednesday after reports that the Trump administration is reportedly reclassifying marijuana, a sign of a possible shift in U.S. drug policy.

Currently, marijuana is classified as a Schedule I drug, along with heroin and LSD. The move would reclassify marijuana to a lower classification, more in line with drugs such as ketamine and steroids, Axios reported. 

Though not decriminalizing marijuana at the federal level, the reclassification would loosen restrictions on medical research and allow wider examination of its therapeutic promise.

The move follows an executive order signed by Trump last December directing regulators to review federal marijuana laws. The administration said the move was a response to growing demand from patients seeking alternative therapies for conditions such as chronic pain, cancer, and neurological disorders. 

A drug's schedule is decided "based upon the substance's medical use, potential for abuse, and safety or dependence liability," said the DEA in a statement.

How Retail Trades Are Reacting?

The news sent markets into a frenzy, with cannabis-related assets like Weedcoin skyrocketing on investor optimism over a potential increase in research access and the long-term regulatory tailwinds for the industry. 

Weekcoin’s price was up over 6% in the last 24 hours, amid strength in the broader market with Bitcoin (BTC) crossing $78,000. On Stocktwits, retail sentiment around WEEDCOIN remained in the ‘bearish’ zone, while chatter remained at ‘normal’ levels over the past day.

The sector was broadly lifted by optimism regarding potential U.S. marijuana reclassification, with cannabis-linked stocks and ETFs also moving higher in midday trade on Wednesday.

Tilray (TLRY), Green Thumb (GTBIF), Trulieve (TCNNF), and Innovative Industrial Properties (IIPR) were all in the green. The ETFs rose by approximately 6% to over 20%.

Read also: BlackRock Silently Scoops Nearly $1 Billion Of Bitcoin, Outpacing Weekly BTC Supply

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