Trump's Crypto Ambitions and Fiscal Policy Shake Markets

Former U.S. President Donald Trump has once again signaled a strong pro-cryptocurrency stance, significantly impacting market sentiment and providing a tailwind for Bitcoin (BTC). In a recorded video for a recent crypto summit, Trump declared his administration would aim for "clear and simple" market frameworks, reinforcing his commitment to ending what he terms a "war on crypto." This rhetoric, combined with his pledge to form a working group on digital assets, has been interpreted by traders as a highly bullish signal. The market reacted positively, with Bitcoin's price showing renewed strength. The discussion was further amplified by industry leaders like Coinbase CEO Brian Armstrong and Circle CEO Jeremy Allaire, who reflected on the growing mainstream acceptance of digital assets. Allaire recounted the early challenges of engaging with traditional financial institutions, highlighting the dramatic shift in perception over the past decade. This political narrative is becoming a powerful driver for crypto assets, suggesting a potential shift towards a more favorable regulatory environment in the United States, which could unlock significant institutional capital.

Fiscal Policy: The Bull Case for Bitcoin and Gold

Adding fuel to the fire, Trump's recent comments on fiscal policy have provided another layer of support for hard assets. In a message posted on social media on June 29, 2025, he addressed fiscal conservatives, stating, "We will make it all up, times 10, with GROWTH, more than ever before." This statement was in the context of a large tax-and-spending package, implying that economic growth would offset any near-term deficits created by tax cuts. This supply-side economic approach has been seized upon by market analysts as a strong argument against holding long-term U.S. Treasuries. As noted by crypto analyst Will Clemente, such a policy stance makes one question the value of holding government debt at current yields and reinforces the case for owning Bitcoin and gold. The logic is straightforward: if the government pursues expansionary fiscal policy potentially financed by debt, it could lead to currency debasement and higher inflation, eroding the value of fixed-income assets. In this scenario, scarce assets with a finite supply, like Bitcoin, become increasingly attractive as a store of value and a hedge against fiscal irresponsibility.

Bitcoin Technical Analysis: Navigating the $108,000 Level

From a trading perspective, Bitcoin's price action reflects this complex interplay of political news and macroeconomic outlooks. As of 22:22 UTC on Sunday, BTC was trading at approximately $107,937. Over the preceding 24 hours, the asset displayed significant volatility, oscillating between a low of $107,194 and a high of $108,489. Technical analysis from the period of June 28 to June 29 reveals key levels traders are watching. A firm support base was established around the $107,300 mark, with the price rebounding from this level multiple times. The upward momentum was confirmed by a surge in trading volume, which peaked at 7,538 BTC in a three-hour window on June 29, pushing the price towards its intraday high. However, sellers emerged near the $108,500 resistance. In the final hours of the session, a descending channel formed as BTC fell from $108,219 to $108,059, indicating short-term profit-taking. A brief but sharp dip to $108,030 on a 130 BTC volume spike was quickly bought up, suggesting dip-buyers remain active. The key battleground for traders remains the ability to decisively break and hold above the $108,500 resistance to signal further upside.

Altcoin Market Dynamics and Trading Pairs

While Bitcoin captures the headlines, the broader altcoin market presents a mixed but interesting picture for traders. The ETH/BTC pair traded around 0.02333, showing a slight decline of 0.128%, suggesting that capital flows are currently favoring Bitcoin over Ethereum. This is a critical ratio for traders to monitor, as a breakout could signal the start of a new "altseason." Some altcoins, however, are showing independent strength. The AVAX/BTC pair, for example, posted a remarkable 6.73% gain, surging from a low of 0.00021210 to a high of 0.00022890 on significant volume. This divergence indicates strong project-specific fundamentals or narrative-driven interest in Avalanche. In contrast, other major altcoins like Solana (SOL/BTC) and Cardano (ADA/BTC) showed more subdued performance, trading in tight ranges. The LINK/BTC pair showed modest strength with a 1.017% gain, while DOGE/BTC also saw a 1.835% increase, fueled by retail sentiment. For traders, this environment requires a selective approach. While Bitcoin's macro-driven rally provides a solid foundation, identifying outperforming altcoins like AVAX can offer significant alpha. Key pairs to watch are BTC/USDT for overall market direction, ETH/BTC for risk appetite, and individual strong performers like AVAX/BTC for momentum trades.