Bitcoin-market watchers woke to political fireworks as the United States Senate approved President Donald Trump’s multitrillion-dollar tax-and-spending package, the “One Big Beautiful Bill Act,” with Vice-President J.D. Vance casting the tie-breaking vote to seal a 51–50 victory. Only three Republicans—Susan Collins of Maine, Rand Paul of Kentucky and Thom Tillis of North Carolina—joined Democrats in opposition. The measure now returns to a narrowly divided House, where fiscal-hawk conservatives have vowed to reopen fights over the bill’s $3-trillion deficit impact and Medicaid cuts.
Still, macro-sensitive investors zeroed in on two provisions with clear implications for the sector: First, there’s the reinstatement of 100 percent bonus depreciation. Firms may now expense the full cost of new hardware in year one rather than amortizing it. For a mining operator acquiring $10 million in ASIC rigs, the immediate write-off cuts the effective after-tax cost by roughly one-third, sharpening incentives to deploy capital quickly and pushing projected network hashrate higher.
Second, the permanent elimination of federal taxes on tips and overtime pay. While politically framed as middle-class relief, the provision amounts to an estimated $280 billion of disposable income over ten years, according to the Washington Post, potentially supporting risk-asset allocation at the retail margin.
Bitcoin initially slipped 1.4 percent to $105,800, retracing part of Tuesday’s record monthly close near $107,200 before stabilising just above $106,000.
The short-lived dip drew astonishment from long-time analyst Vijay Boyapati, who wrote on X, “Bitcoin falling on the BBB passing the Senate is perhaps the most irrational market reaction since the Bitcoin Covid crash to $3,000, just as the money printer went into overdrive in 2020.”
Other voices focused on fiscal risk: dVick called the bill “another nail in the dollar’s coffin,” adding: “The devaluation has been accellerated. If you’re not in Bitcoin, and don’t get in soon, I expect those are decisions you’ll soon regret.”
For Bitcoin and crypto participants, the Senate vote is less an endpoint than a macro signal. Should the final package survive intact, the combination of fresh consumer cash, generous capital-investment write-offs and a potentially more accommodative Fed would replicate many of the monetary conditions that powered Bitcoin’s 2020-21 run. In Boyapati’s words, “the money printer” may not be at full throttle yet, but the gears just started whirring.
At press time, BTC traded at $106,454.
