The Big Beautiful Bill is one of Donald Trump’s most significant reforms. It passed the House of Representatives on May 22, 2025, and the amended version passed the Senate on July 1.
A massive reaction followed the passage, with some in favor and others opposed. Elon Musk remains a staunch opponent of the reform, citing several reasons.
On Jun 3, he expressed disgust over the bill, calling the voting process for it “shameful.” The next day, he called on US citizens to call their senators and congressmen to “Kill the Bill.”
The US President stated that “Elon is upset because we took the EV mandate, which was a lot of money for electric vehicles. They’re having a hard time with electric vehicles, and they want us to pay billions of dollars in subsidies. Elon knew this from the beginning.”
The Tesla CEO rebutted, saying, “Keep the EV/solar incentive cuts in the bill, even though no oil & gas subsidies are touched (very unfair!!).” Comments under the post showed that many agreed with him.
It is worth noting that during the voting processes across the Senate and House of Representatives, the proposal received almost an equal amount of support and opposition. The Senate voted 505-50, with VP JD Vance breaking the tie.
Bitcoin and altcoins experienced massive retracements during the first round of exchanges between the two individuals. The global cryptocurrency market cap retraced by almost 4% during this period but recovered after the dust settled.
Elon Musk has not agreed with the bill following its passage, but the crypto market is surging.
Why Is the Crypto Market Surging?
Most investors are optimistic about the bill’s impact on the cryptocurrency market. One resounding factor they stated is tax cuts, which cover removing tax on tips and overtime. They believe that more money in the pocket will result in more people buying crypto. The fresh liquidity will undoubtedly benefit the market.
Another detail many highlighted is how the return of 100% bonus depreciation could boost the mining industry. Mining rig purchases can be written off from taxable income immediately, rather than being spread out over several years. More mining companies and individuals will seize the opportunity to stack up ASIC miners, improving Bitcoin’s hashrate.
These factors are among the reasons for the positive reaction from the cryptocurrency market. The global cryptocurrency market cap surged by 5% in the last 34 hours, peaking at $3.36 trillion. However, the bill is not 100% beneficial for the industry.
The Big Beautiful Bill raises the spending ceiling while cutting healthcare and green energy programs. These cuts could increase costs, impacting firms and individual finances. To put this into perspective, the money saved on taxes will be spent on healthcare for some, defeating the purpose of the euphoria.
When Will The Big Beautiful Bill Euphoria End?
The Big Beautiful Bill does not have any direct impact on the crypto market. This means that the effect will be short-lived. The latest increase the market sees is due to excitement, which will fade in the coming days.
The crypto market is registering lower volatility at the time of writing. It indicates dwindling optimism among investors.
Question about the Big Beautiful Bill causing a new ATH for Bitcoin remains highly debatable. However, the likelihood is declining.
