Bitcoin (BTC) demonstrated notable resilience, trading at approximately $107,937 as of late Sunday, marking a 0.54% gain over the preceding 24 hours. The market's focus has pivoted towards unfolding fiscal policy discussions in the United States, sparked by a recent statement from President Donald Trump. Price action for BTC showed significant volatility, with the BTC/USDT pair oscillating between a low of $107,152 and a high of $108,746 within the 24-hour period. This price behavior comes as investors and traders alike attempt to decipher the long-term implications of potential U.S. economic strategies on digital assets and traditional safe havens.

Fiscal Policy Debates Boost Bitcoin's Safe-Haven Appeal

The catalyst for the recent market discussion was a June 29, 2025, post on Truth Social by President Trump, aimed at Republican lawmakers. Amid a contentious debate over a massive tax-and-spending bill, he wrote, “For all cost cutting Republicans, of which I am one, REMEMBER, you still have to get reelected. Don’t go too crazy! We will make it all up, times 10, with GROWTH, more than ever before.” This message highlights the internal party friction surrounding the 900-page bill, which proposes around $3.8 trillion in tax cuts while also enacting spending reductions. The administration's argument is that aggressive, growth-oriented policies will ultimately offset the near-term deficit increases, a classic supply-side economic stance that has profound implications for currency valuation and inflation expectations.

This fiscal posture has not gone unnoticed in the crypto community. Crypto analyst Will Clemente voiced a sentiment shared by many market participants, stating on X, “How can you read this and hold long term US treasuries at current yields lol... Also, how can you read this and not hold any Bitcoin or gold.” This perspective underscores a growing concern that expansive fiscal policy, characterized by significant tax cuts financed by debt, could lead to currency debasement and higher inflation. In such a scenario, the appeal of fixed-income assets like U.S. Treasuries diminishes, while scarce, non-sovereign assets like Bitcoin (BTC) and gold become increasingly attractive as stores of value and hedges against inflation.

BTC Technicals and Market Performance

From a technical standpoint, Bitcoin's price action between June 28 and June 29 revealed key levels for traders. A strong support base was formed around the $107,300 mark, which was tested and held on multiple occasions. Trading volume for the BTC/USDT pair was recorded at 7.42 BTC, with a notable peak in broader market volume confirming upward momentum during the European and early U.S. sessions on June 29. However, the final hours of trading saw BTC form a descending channel, with a price drop from $108,219 to $108,059, before settling near $107,937. The broader market showed pockets of strength, with Ethereum (ETH) up 3.4% to $2,509 and Avalanche (AVAX) showing significant strength against Bitcoin, with the AVAX/BTC pair climbing over 6.7%.

Stablecoin Regulation and Trump's Crypto Interests Converge

In a parallel development, the digital asset space is experiencing a significant policy shift as the U.S. Senate passed a bipartisan stablecoin regulation bill. This move towards clearer regulation is generally seen as a positive for the industry. Coinciding with this legislative progress, it was revealed through legal disclosures that DT Marks DEFI LLC, an entity affiliated with President Trump and his family, reduced its stake in the parent company of World Liberty Financial (WLFI), which operates its own stablecoin. The stake was reportedly lowered from 60% to 40%. This development adds another layer to the complex relationship between the President and the crypto industry, especially as lawmakers have previously raised concerns about potential conflicts of interest. Despite these concerns, the advancement of the stablecoin bill could provide a more stable regulatory foundation for compliant firms, including WLFI's USD1 stablecoin, assuming it meets the stringent new reserve and oversight requirements. The market continues to watch these political and regulatory developments closely, as they will undoubtedly shape the future landscape for stablecoins and the broader crypto ecosystem in the United States.