On July 1, 2025, the U.S. Senate passed President Trump's tax and spending bill. The vote ended 51-50, with Vice President Vance casting the tie-breaking vote.
Senate's Narrow Passage with Vice President's Decisive Vote
The tax cut and spending proposal by President Trump was passed by the Senate with a vote of 51-50. Vice President Vance's vote exemplified tight partisan divisions. Reactions from senators varied, with some Republicans opposing the bill alongside Democrats. Notably, Rand Paul remarked, 'The big not so beautiful bill has passed.'
Market Cautious, Crypto on Alert
Since the vote on July 1, Bitcoin (BTC) has slightly declined. According to CoinMarketCap, its current price stands at $105,713.29 with a market cap of $2.10 trillion. The 24-hour trading volume saw a modest increase of 6.73%. Its price over the last day decreased by 1.60%, although Bitcoin maintained a notable 27.18% rise over the past 90 days. Coincu analysts suggest that the current fiscal moves may prompt caution in crypto investments, potentially impacting BTC and ETH trading volumes. Historical trends indicate that macroeconomic uncertainty often influences market hedging behavior, yet immediate responses remain muted within cryptocurrency circles.
Market Effects and Future Outlook
Historically, U.S. tax policies, such as the 2017 Trump tax reform, have often induced market rallies, including within the cryptocurrency sector, highlighting the interplay between fiscal decisions and investor behavior. Speaker Mike Johnson is responsible for advancing the bill through the House to meet the holiday deadline, while crypto and financial markets closely monitor for further cues.
The passage of the bill in the Senate marks an important step in the process of securing its final approval. The resulting implications for financial and cryptocurrency markets require careful analysis in light of current economic conditions.
