Big Beautiful Bill Could Send $BTC Soaring!
The “Big Beautiful Bill” (BBB) not only affects income distribution but also has implications for the overall money supply—particularly M2, which includes cash, checking deposits, and easily convertible near money. As the bill provides significant after-tax income increases for high earners, especially the top 5%, it may lead to increased spending and investment activity, injecting more liquidity into the economy. Additionally, if the government increases spending or transfers without offsetting taxes on the wealthy, this could further expand M2.
An increase in M2 typically signals higher inflationary pressure or currency dilution, which often drives investors toward scarce assets like Bitcoin as a hedge. Bitcoin is known for its limited supply (21 million), making it attractive when fiat money expands. If BBB contributes to rising M2 without matching economic productivity, Bitcoin could see another price rally, driven by demand for hard, deflationary assets in response to fiat depreciation.
