Bitcoin Price Steady Despite $4.5T US Spending Bill
The US Senate’s passage of a $4.5 trillion spending bill had a minimal impact on Bitcoin’s price, which remained above $107,000. Initially, Bitcoin dipped to around $106,344 as traders hesitated before the vote, but it quickly rebounded above $107,800 after the bill’s approval, demonstrating a resilience to significant political events. This swing of approximately $1,400, or 1.3%, saw some traders capitalize by selling during the dip and repurchasing after the vote’s outcome. While the bill contained no crypto-specific language, a last-minute attempt to incorporate a tax benefit for digital currencies was unsuccessful. Other cryptocurrencies experienced varied reactions. Ethereum saw a slight dip of 0.3%, XRP fell by 0.7%, and Solana experienced a more significant drop of up to 6%. The broader crypto market saw over $219 million in liquidations, with Bitcoin accounting for roughly $60 million. Conversely, crypto stocks performed well, with MicroStrategy (now Strategy) and Coinbase seeing gains of 3.2% and 2.3% respectively. The bill now heads to the House for final approval before potentially reaching the President’s desk before July 4th. Market watchers will closely monitor upcoming inflation data and Federal Reserve signals, as potential interest rate hikes could put pressure on crypto markets. The overall event highlights Bitcoin’s capacity to react to major political news in unexpected ways.
