Bitcoin (BTC) experienced a notable uptick, trading at $107,937 as of 22:22 UTC on Sunday, marking a 0.54% increase over the preceding 24 hours. The price action was largely influenced by intensifying fiscal policy discussions in Washington, D.C., following a significant statement from President Donald Trump. Over the 24-hour period, BTC's price demonstrated considerable volatility, oscillating between a low of $107,194 and a high of $108,489, according to market data analysis. The catalyst for this market movement was a post on Truth Social by President Trump on June 29, 2025, aimed at Republican lawmakers debating his extensive tax-and-spending proposal. He advised, “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.”

Fiscal Policy Jitters Boost Bitcoin (BTC) and Gold as Safe Havens

This statement highlights the internal conflict within the Republican party over the massive legislative package, dubbed the “One Big Beautiful Bill.” The bill proposes approximately $3.8 trillion in tax cuts while also outlining spending reductions and increased defense funding. The core of the bill aims to make permanent the tax breaks from the 2017 Tax Cuts and Jobs Act. However, the proposed cuts to offset this, particularly to social programs, have created a deep political divide. Trump's message, emphasizing economic growth as the ultimate solution to offset deficits, resonated strongly within the financial markets. This supply-side approach, which suggests near-term debt increases will be nullified by future growth, has raised concerns about fiscal discipline and potential currency debasement. Nonpartisan analysis estimates the plan could add trillions to the national debt, which already stands at $36.2 trillion.

Market Reaction and Safe-Haven Demand

The market's interpretation of this fiscal stance was articulated by crypto analyst Will Clemente, who commented on X shortly after the post. He questioned the logic of holding long-term U.S. Treasuries at current yields in such an environment, adding, “how can you read this and not hold any Bitcoin or gold.” This sentiment captures a growing unease among investors that expansionary fiscal policy, potentially financed by increased debt, could lead to inflation. In such a scenario, the appeal of fixed-income assets like Treasuries diminishes, while hard assets with finite supplies, such as gold and Bitcoin (BTC), become more attractive as stores of value. The market's pivot toward these assets reflects a classic flight to safety amid fears of currency devaluation and fiscal instability. While BTC saw upward momentum, the ETH/BTC pair dropped 2.47% to 0.0233, indicating that capital flowed more strongly into Bitcoin as the primary safe-haven digital asset during this period.

Crypto Tax Provision Stalls as Senate Passes Budget Bill

In a related development that disappointed many in the digital asset space, a major U.S. Senate budget bill advanced without including a much-anticipated crypto tax provision. Despite significant lobbying efforts from the industry and advocacy from Senator Cynthia Lummis, her proposed amendments to clarify and ease the tax burden on cryptocurrency transactions were not included in the final version of the bill. The proposal aimed to waive capital gains taxes on small-scale crypto activities, a move supporters argued would rationalize the tax system and foster innovation. The bill narrowly passed on a 50-50 vote, with Vice President J.D. Vance casting the tie-breaking vote after a marathon session of debates. The exclusion of the crypto-friendly tax language means that efforts to create a more favorable tax regime for digital assets must return to standalone legislative tracks, facing an uncertain future. The bill now heads to the House of Representatives, where it is expected to face another round of intense debate. Treasury Secretary Scott Bessent urged the House to act quickly, emphasizing the administration's goal to make the U.S. a premier destination for capital and innovation, a sentiment that the crypto industry feels was not fully reflected in the bill's final text.

BTC Technical and Altcoin Analysis

From a technical standpoint, between June 28 at 15:00 UTC and June 29 at 14:00 UTC, BTC's 1.21% intraday range was defined by strong support at the $107,300 level, which was tested and held multiple times. Trading volume for BTC peaked at 7,538 BTC between 08:00 and 11:00 UTC on June 29, providing confirmation for the upward price move. The BTC/USDT pair on major exchanges saw a 24-hour high of $110,493.51 before settling. While Bitcoin showed strength, the altcoin market presented a mixed picture. Ethereum (ETH) saw its price against the dollar fall by over 1%, with the ETHUSDT pair trading at $2,550.77. In contrast, some altcoins showed remarkable strength against Bitcoin itself. The AVAX/BTC pair, for instance, surged an impressive 6.733% to 0.00022670, indicating strong project-specific momentum. Litecoin (LTC) also performed well, with the LTC/BTC pair gaining 1.693%. This divergence suggests traders are selectively rotating capital, favoring BTC as a macro hedge while also seeking alpha in specific altcoins with strong fundamentals or narratives.