Categories: Payment system news

Bitcoin Challenges $40K Again Following Biden’s $6 Trillion Spending Budget Reveal

The Biden administration plans to submit a $6 trillion spending budget proposal later this week. Right after the news broke out, bitcoin’s price increased to above $40k but failed to sustain it as of writing these lines. 

  • According to a report from The New York Times, this budget is part of Biden’s two-part federal agenda and will be spent in the 2022 fiscal year. The total spending could rise to US$ 8,2 trillion.
  • Bitcoin broke $40,000 shortly after the announcement but has since retraced a bit to the levels it currently trades at.

BTC/USD. Source: TradingView

  • Analysts of the crypto community quickly jumped after the announcement, arguing that Bitcoin could store value against a steeping debt curve.
  • This is one of those scenarios where fiat currency will be printed again, reinforcing analysts’ view on fiat hyperinflation and laying down a bullish path for Bitcoin.
  • Bitcoin is getting on its feet, now trading at slightly below $40,100.
  • It tumbled below this level over the past couple of weeks following a series of negative news hitting the market.
  • After the tax hike proposal, Biden said it would take the government until 2030 to decrease its spending deficits, which plants a debt burden for the United States.

Featured image courtesy of The Australian

superadmin

Recent Posts

XRP Bullish Bets Heat Up as Coinbase Flags Surging Options Demand: Here’s What’s Happening

XRP traders appear to be increasingly positioning for a sharper upside move, with Coinbase Markets…

8 hours ago

Russia’s Crypto Market Tops $44 Billion, Government Targets Offshore Transactions

Russian authorities have reported surging crypto transactions and active users, with figures expected to follow…

8 hours ago

Coinbase Builds Post-Quantum Bitcoin Custody Plan for $250B in Assets

Cryptocurrency exchange Coinbase is accelerating preparations for the post-quantum era of Bitcoin (BTC) safety amid…

8 hours ago

Kevin O’Leary Questions Whether Ethereum Will Stay the Industry Standard, Names Solana and Avalanche as Top Alternatives

Many financial experts recognize Ethereum as an industry standard for business adoption of blockchain technology.…

8 hours ago

Tron Leads the Stablecoin Race as Market Cap Grows $4.8B in Three Months — Here’s Why

For investors transacting with stablecoins, the sector is shifting significantly, indicating where most are rotating…

8 hours ago

Nobody’s Buying Bitcoin Harder Than BlackRock with $1 Billion Inflows in the Last 4 Days

BlackRock’s IBIT Exchange Traded Fund (ETF) has maintained its top spot in the Bitcoin institutional…

16 hours ago