The policies and dollar factors behind Bitcoin's surge
Bitcoin recently first stood at $117,080, rising over 60% from the early April low. This rebound is not isolated: during the same period, the dollar recorded its largest six-month decline since 1973 (nearly 11%), and the U.S. debt ceiling was raised by $5 trillion to $41.1 trillion, with market concerns about fiscal risks continuing to intensify.
The timeline clearly shows the correlation between Bitcoin and policy:
On April 9, the White House suspended tariff increases, and Bitcoin bottomed out that day;
On July 3, the House passed Trump's proposed 'Great America Act' (OBBB, expected to increase debt by $5.5 trillion), and the next day, after Trump signed it, Bitcoin broke through $117,000 within a week, and the dollar index fell to its lowest since March 2022.
Additionally, Elon Musk's exit from the Department of Efficiency and the establishment of the 'American Party' stating 'fiat currency is doomed' further strengthened the market's demand for cryptocurrencies as a safe haven.
Despite the Federal Reserve indicating that it may not lower interest rates in 2025, which should support the dollar, the dollar still fell 10.8% in the first half of the year under debt pressure, marking its worst start to the year.
Is the altcoin season here? 98% of altcoins outperform Bitcoin
Bitcoin briefly retreated to $110,000 after approaching a new high, while altcoins performed remarkably: 98% of altcoins have increased more than Bitcoin in the past 48 hours, entering the 'altcoin season' range.
Data shows that Bitcoin's dominance has dropped from 66% to 64%, with funds continuously flowing into altcoins; whale users are buying at a pace far exceeding retail investors, frequently engaging in ALGO, LINK, UNI, etc., indicating that large participants are positioning themselves.
At the same time, ETF inflows are active: BTC received $200 million, ETH reached $211 million, and SOL staking ETFs are also showing growth, adding strength to the market.
New opportunity: DeFi project Mutuum Finance is gaining attention.
With Dogecoin (DOGE) currently priced at $0.176, the market is anticipating ETF approval to push it to $1, while DeFi project Mutuum Finance is emerging:
The fifth pre-sale sold 60%, with a unit price of $0.03, raising $12 million and attracting 13,000 investors;
Core advantages: dual lending model, CertiK audit, $50,000 bug bounty program, recognized for security;
A $100,000 giveaway is underway, with 10 winners each receiving $10,000 in tokens.
The current low-price entry window is still open, and early investors may be able to lock in potential profit space.
Overall, Bitcoin is driven by macro fiscal factors, altcoin activity is rising, new DeFi projects are emerging, and the market is presenting multidimensional opportunities.
