Trump's $3T Spending Bill Spurs Bitcoin Surge Amid Inflation Fears

- President Donald Trump signs a $3 trillion spending bill, stirring debt and inflation concerns. - Bitcoin gains momentum as a hedge against inflation and traditional financial risks. On July 11, 2025, President Donald Trump signed the 'Big, Beautiful Bill,' a sweeping piece of legislation projected to increase the U.S. national debt by $3 trillion over the next decade. On the same day, The Motley Fool South Korea reported that the bill extends the 2017 tax cuts and introduces new reductions for tips, overtime pay, and retirement income, while also implementing cuts to welfare programs like Medicaid and the Supplemental Nutrition Assistance Program (SNAP). The Congressional Budget Office (CBO) also warned on July 11 that the legislation may substantially widen the long-term fiscal deficit. The bill's expansive spending and interrupted interest rate hikes have intensified inflation concerns. Consequently, analysts suggest that Bitcoin, a decentralized asset with a finite supply, is well-positioned to thrive in this environment. Investors increasingly recognize it as a hedge against inflation and a safeguard from the limitations of traditional financial systems. The bill's provisions are expected to stimulate economic activity but also drive inflationary pressures upward. This macroeconomic backdrop prompts many investors to see Bitcoin as a safe-haven asset, using it to shield their wealth from rising prices and a potential U.S. dollar devaluation. Dubbed the 'One Big Beautiful Bill Act,' the legislation has sparked debates over its impact on fiscal sustainability and economic inequality. Depending on economic conditions, analysts predict the national debt will increase by $2.4 trillion to $5 trillion over the next decade. While supporters tout the bill as a political win for President Trump, critics remain wary of its broader economic ramifications. According to CoinMarketCap on July 12, 2025, Bitcoin (BTC) traded at $117,837.16 as of 04:28 UTC, marking a 1.06% gain over the previous 24 hours. The cryptocurrency’s 24-hour trading volume reached $80,371,120,893.32, highlighting its growing role as a financial alternative in uncertain times.