As a “big beautiful bill” Trump will affect the crypto

The US Senate with a minimum advantage approved the financial package of Donald Trump at $ 3.3 trillion, known as the Big Beautiful Bill. Now the initiative is under consideration by the House of Representatives.

We tell you what the essence of Trump’s “big beautiful bill” and how its adoption will affect the cryptocurrency market.

Bitcoin as a financial hedge

It is expected that the “big beautiful bill” will directly affect bitcoin. Trump’s initiative will increase US public debt by $ 3 trillion. Market participants are preparing for long -term inflationary pressure. Demand for BTC – cryptocurrency, which is often considered protection against depreciation of fiat – can grow.

The weakening of the American dollar is likely to only strengthen the position of the asset as “digital gold”. This, in turn, will positively affect the Bitcoin course.

Influence on altcoins

Ethereum (ETH) and other large altcoins can receive short -term support. When investors realize that the risks are growing, they often switch from bonds to alternative assets. This often contributes to the growth of the digital assets market.

However, the influence will most likely be uneven. Infrastructure and official tokens will benefit from increasing activity and capital. Memecoirs and other speculative assets will be faced with an increase in volatility and can show weaker results.

Separation of investors’ opinions

Private investors can react positively to the adoption of a “large beautiful bill”. The initiative is designed to reduce the tax burden on business and simplify the reporting on cryptocurrencies – especially with respect to staying income.

Institutional investors will probably take a more cautious approach. The growth of US public debt and inflation can make them take a wait -and -see. This is especially true for the script in which the Federal Reserve System (Fed) will decide to tighten the policy.

Short -term and medium forecast

If the House of Representatives accepts Bill unchanged, cryptocurrencies will continue to grow. Then the capitalization of the cryptor can reach $ 3.5–3.7 trillion in the near future. At the time of writing, the indicator is $ 3.3 trillion.

The long -term influence of the “large beautiful bill” will depend on the Fed’s reaction to the inflationary influence of the initiative. If the regulator increases interest rates, this can strengthen the dollar and negatively affect the crypto carp. Provided that everything will remain as it is, the ascending trend in the crypto will remain.

Conclusions

The adoption of a “large beautiful bill” Trump is marked by a significant shift. If it is approved by the House of Representatives, the growth of public debt and the weakening of the dollar will create perfect conditions for the cryptocurrency to strengthen. On the other hand, the risk of tightening the monetary policy of the Fed can cool market optimism.

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