President Donald Trump signed the "One Big Beautiful Bill" worth 3.3 trillion dollars into law at a White House event commemorating the US Independence Day on July 4th.
This bill was barely passed through both houses and brings massive tax cuts, spending changes, and the largest debt ceiling increase in US history. The debt ceiling was increased by 5 trillion dollars.
Trump's Big Bill, What's the Impact on Cryptocurrency?
The bill permanently extends major tax cuts from the Trump era, introduces new deductions for tips, overtime, and car loan interest, and expands SALT limits for middle-class families.
Simultaneously, it imposes aggressive cuts to Medicaid, food assistance programs, and student loan subsidies. The Congressional Budget Office anticipates a 3.3 trillion dollar deficit increase over the next 10 years.
The cryptocurrency market is watching carefully.
Analysts warn that the new massive debt could weaken the US dollar, suggesting investors might move to non-sovereign assets like Bitcoin. The inflationary impact of this spending package could accelerate cryptocurrency demand.
Bitcoin price exceeded 108,000 dollars immediately after the bill signing.
However, investor caution remains. Federal Reserve policy responses could impact the sustainability of the cryptocurrency rally.
For now, Trump's legislative victory is setting the tone for a new fiscal era, which could provide a structural tailwind for digital assets in the coming months.
