According to @KobeissiLetter, the U.S. is on a fiscal path that guarantees 100% certainty of long-run bankruptcy and will require short-term pain for long-term gain, citing President Trump’s trade-war framing as context, source: @KobeissiLetter on X. According to @KobeissiLetter, the post also links Elon Musk to DOGE and references his criticism of a spending bill in June, highlighting DOGE as a focal asset, source: @KobeissiLetter on X. For factual clarity, Dogecoin was created by Billy Markus and Jackson Palmer in 2013; Elon Musk did not found DOGE, source: Dogecoin Foundation and Wikipedia. The Congressional Budget Office projects federal debt and net interest costs to climb to record levels over the long term, aligning with the post’s fiscal-risk theme that traders watch for macro liquidity implications, source: CBO 2024 Long-Term Budget Outlook. DOGE has historically shown outsized price reactions to Elon Musk’s posts, making headline risk a concrete, short-term trading catalyst for DOGE, source: Reuters coverage of Musk-related DOGE moves in 2021.

According to The Kobeissi Letter, the US Congressional Budget Office (CBO) projects that the US Debt-to-GDP ratio could soar to 220% by 2055 if the 2017 tax reductions are extended indefinitely, which is 64 percentage points above the baseline projection (source: The Kobeissi Letter, May 21, 2025). This trajectory signals significant fiscal instability and could undermine confidence in US government bonds, increasing demand for alternative assets like Bitcoin and other cryptocurrencies among global investors. Traders should monitor macroeconomic policy changes closely, as elevated debt levels historically drive shifts in capital flows toward non-sovereign stores of value, potentially increasing crypto market volatility and trading opportunities.