Elon Musk has announced the formation of a new political party amid significant budgetary issues in the U.S. This new initiative is set to challenge the existing political landscape and has already sparked widespread public interest.
Formation of the 'American Party'
Elon Musk announced the creation of the 'American Party' via his social media platform X on July 6, 2025. This decision follows his criticism of a Congressional spending bill that increases the U.S. deficit. Musk believes that such actions could worsen economic issues and potentially lead to national bankruptcy. He stepped down from the Department of Government Efficiency, where he worked under President Trump, to focus on this initiative.
Fiscal Issues in the U.S.
The rise in the fiscal deficit to $2.5 trillion during Trump's administration has sparked varied reactions. Musk's emphasis on government efficiency highlights concerns over fiscal sustainability. His dissatisfaction with current fiscal policies is shared by a significant portion of the U.S. populace, as shown by his online poll results.
Impact on Cryptocurrency Market
Despite Musk's political maneuvering, Bitcoin's price remains steady. The current price of Bitcoin stands at $109,485.08, boasting a market cap of $2.18 trillion and dominating 64.51% of the market. According to CoinMarketCap, it demonstrates a 1.15% price increase in the last 24 hours, with a 90-day price surge of 36.06%.
The formation of the 'American Party' by Elon Musk highlights his serious concerns regarding fiscal policy and the U.S budget. As of now, changes in the political arena have not had an immediate impact on the cryptocurrency market.
