President Donald Trump officially signed the $3.3 trillion “Big Beautiful Bill” into law on July 4 during a ceremony at the White House, on the occasion of the US Independence Day.
The bill, which passed both houses by narrow margins, includes sweeping tax cuts, significant spending changes, and the largest debt ceiling increase in US history—an increase of $5 trillion.
What Does the Big Beautiful Bill Mean for Cryptocurrency?
The new law would permanently extend key Trump-era tax cuts, introduce new deductions for tips, overtime, and auto loan interest, and expand the SALT (state and local tax) cap for middle-income families.
But the law also imposes steep cuts to Medicaid, food assistance programs and student loan assistance, and the Congressional Budget Office projects that the deficit will increase by $3.3 trillion over the next decade.
The cryptocurrency market is watching this development closely.
Analysts warn that the massive new debt burden could weaken the US dollar, leading investors to turn to non-sovereign assets like Bitcoin. The inflationary effects of this spending package are likely to boost demand for crypto.
Bitcoin price rebounded to $108,000 shortly after the bill was signed.
Still, investor caution remains. The Federal Reserve’s policy response to rising debt levels could impact the sustainability of the cryptocurrency rally.
Now, Trump’s legislative victory is shaping a new era of finance—one that could create structural momentum for digital assets in the coming months.