The crypto market cap holds steady at $2.88T after a bullish structure shift, signaling a potential higher low formation ahead. Despite a recent 0.88% dip, the total crypto market cap stays above key fib levels, showing strength after April’s recovery. Sentiment remains bearish, but price structure and volume suggest the market is building a solid base between $2.7T and $3.0T. The total cryptocurrency market cap is showing signs of renewed strength after a major structural shift on the daily timeframe. The market currently sits at $2.88 trillion, down slightly by 0.88% on the day. However, despite the dip, recent price action has turned bullish. A clean break in structure has emerged following April’s recovery. Traders now eye a higher low as the next key development. A purple support zone just below current levels looks promising. If that fails, deeper Fibonacci levels may provide support. Structural Recovery Follows Steep Correction Since November 2024, the crypto market has moved through a well-defined cycle. The trend started near $2.1 trillion and quickly rallied. December brought explosive growth, pushing the market cap above $3.6 trillion, a 71% rise. Mid-December marked the first peak, followed by a minor consolidation. Source: CRG Momentum returned in January 2025, briefly lifting the market near $3.6 trillion again. However, February reversed the trend. A steep March correction dragged the market down 25%, dropping the cap from $3.1 trillion to $2.3 trillion. April marked a turning point. The market formed a rounded bottom near the $2.3 trillion level. Fibonacci retracement zones appeared, showing possible recovery targets. Price eventually rallied near $3 trillion before pulling back slightly. Bulls Watch for Base Before Breakout Current consolidation between $2.7 trillion and $3.0 trillion suggests a new base may be forming. This aligns with broader bullish sentiment despite recent bearish headlines. CRG from MacroCRG notes that sentiment remains near record lows. However, price structure tells a different story. The market now trades above key Fibonacci levels, with volume evenly split between buyers and sellers. This balance hints at an accumulation phase rather than distribution. The purple zone beneath current prices could form the ideal higher low. Moreover, technical traders view dips as opportunities rather than signals of collapse. With a bullish structure in place, a strong move higher seems increasingly likely. Price may need more time to build momentum, but the foundation appears solid.

  • Bessent says stablecoins may boost dollar use globally, calling them a tool that could lock in long-term U.S. monetary leadership.

  • Trump demands urgent House passage of the GENIUS Act after Senate approval, positioning stablecoins as key to U.S. crypto dominance.

  • Bessent says ignoring crypto is a mistake, warning that innovation will move offshore if lawmakers fail to act quickly and decisively.

Crypto is not undermining the U.S. dollar, according to Treasury Secretary Scott Bessent. Instead, stablecoins could help strengthen the dollar’s global role. The GENIUS Act is central to this evolving narrative in U.S. crypto regulation.

Bessent: Stablecoins May Reinforce Dollar Dominance

Treasury Secretary Scott Bessent dismissed concerns that digital assets pose a risk to the U.S. dollar. In a tweet, Bessent stated, “Crypto is not a threat to the dollar. In fact, stablecoins can reinforce dollar supremacy.” He emphasized that digital assets are becoming increasingly important globally.

https://twitter.com/SecScottBessent/status/1935404649718157691

During a New York Post interview, Bessent explained how dollar-backed stablecoins could be used internationally without the need for physical dollars. He noted, “Someone using a dollar-backed stablecoin in Nigeria could transact without actually holding physical dollars.”

Bessent also suggested that stablecoins could become major buyers of U.S. Treasuries. This, he said, would directly support the U.S. economy and contribute to the stability of global financial systems.

GENIUS Act Gains Momentum in Congress

Bessent’s remarks follow the Senate’s approval of the GENIUS Act in a 68-30 vote. The legislation lays out a federal framework for issuing and trading stablecoins. It also aims to establish the U.S. as a leading destination for digital asset innovation.

The bill faced hurdles last month when it failed a procedural vote. That failure was driven by concerns from pro-crypto Democrats over national security issues and Trump family business interests. Bessent had sharply criticized the setback, urging Congress to move forward or risk losing leadership in the sector.

President Trump is now pressing the House to pass the GENIUS Act without amendments. He urged lawmakers to deliver the bill “ASAP,” following the Senate vote.

U.S. Government Shifts Stance on Digital Assets

Bessent acknowledged that digital assets were long overlooked by national governments. In his tweet, he said the administration is now committed to supporting crypto innovation in the U.S.

He noted that while the previous administration tried to "make it extinct," the current approach is geared toward embracing this technology. The GENIUS Act represents a critical shift in regulatory focus, potentially opening the door to further crypto integration within the financial system.

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