Debt Ceiling Deal Or Not, Bitcoin To Remain Bullish; Here’s Why
Crypto Market News: US President Joe Biden and top Republican Kevin McCarthy are set to restart the debt ceiling deal talks on Monday as the debt limit negotiating team from the White House arrived at Capitol Hill, according to reports. The talks will begin ahead of a crucial deadline on June 1, 2023, after which the US Federal government will default on some of its debts. The meeting is of utmost prominence as White House had earlier warned that if the debt ceiling deal is not made, it could have a devastating effect on the stock markets.
Also Read: Smart Money More Inclined To Invest In Ethereum Over Bitcoin: Bloomberg
Last week, the White House said that if the US defaults, the stock market could likely decline by more than 45%. In addition, President Joe Biden sparked a row in the crypto market with his comments over not intending to help crypto traders with the deal.
Debt Ceiling Talk Bullish For Bitcoin
In this context, the crypto trader community is enraged over Biden’s comments. In fact, some traders spoke about not supporting Biden over his government’s Bitcoin stance in the upcoming US election 2024. However, uncertainty in the macroeconomic space had in the recent times worked in favor of the crypto market, as investors preferred high return, high risk investment options. Hence, uncertainty and instability will remain in the financial market whether or not a debt ceiling deal is arrived at or not before the June 1 deadline.
A debt ceiling deal that raises the ceiling is bullish for Bitcoin.
A debt ceiling no deal that causes default and pandemonium is bullish for Bitcoin.
Pretty much everything that happens is bullish for Bitcoin.
Funny that some either can't see it or don't want to see it.
— Mike Alfred (@mikealfred) May 21, 2023
Relief in the markets would trigger BTC price jump if the deal is reached at, while fear and uncertainty in stock market would transform Bitcoin into a safe bet if the deal talks fail. Overall, it will likely be a safe ride for crypto market in the coming months. On the other side, the crypto market would digest positive momentum in the economy if the US Fed eventually opts to hold the interest rate hike spree.
Also Read: MicroStrategy Replies To FASB Standards To Update Bitcoin Holdings
- Ethereum and BMNR Rallies as BitMine Drops $1B on ETH, Analyst Hails “Most Bullish Setup Yet”
- ASTER Deposits Flows Into Binance Wallets Following CZ Endorsement, Listing Incoming?
- Avalanche Treasury Seals $675M Deal With Mountain Lake to Build $1B AVAX Vehicle
- Just In: Nasdaq-Listed VivoPower Raises $19M in Equity to Expand XRP Treasury Holdings
- Solana Price Rallies 5% as Nasdaq-listed VisionSys Launches $2B SOL Treasury Strategy
- Cardano Price Forecast As Hashdex Listing Fuels Optimism For $1.27 Breakout
- BONK Price Rally Ahead? Open Interest Jumps as TD Buy Signal Flashes
- Shiba Inu Price to Surge as Whales Buy and Team Commits to Shibarium Growth
- XRP Price Prediction After Ripple CTO David Schwartz Resigns
- SUI Price Eyes $4.5 as Coinbase Futures Listing Sparks Market Optimism
- Chainlink Price Holds $20 Support Amid Tokenization With DTA Standard Progress – Is $47 Next?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
