According to Nic Carter, the selloff of White Dot ETHs is criticized as a reaction to political developments, specifically targeting those who supported former President Trump's policies. Carter notes Trump's contribution to the cryptocurrency space, mentioning the end of OCP2.0, the presence of two bills advancing through Congress, a total overhaul at the SEC, and the appointment of pro-crypto officials in key financial and regulatory positions such as the SEC, Treasury, Commerce, and CFTC. These actions are seen as significant influences on the crypto market, potentially affecting trading strategies and legislative expectations.