Bitcoin Surges 100% as Trump's Stablecoin Bill Advances

Bitcoin and cryptocurrencies have experienced a significant surge this year, driven by traders' anticipation that the administration of U.S. President Donald Trump will further boost the bitcoin price. This optimism was bolstered by Treasury Secretary Scott Bessent's surprising prediction about the crypto market.

The bitcoin price has remained above $100,000 per bitcoin since early May, rebounding from a slump induced by Trump's tariffs. Rumors of an impending, "extraordinary" update from the White House have added to the excitement. As traders await an imminent Federal Reserve announcement, the U.S. Senate is set to vote on the Trump administration's landmark stablecoin bill. Trump has promised that this legislation will enable the U.S. to "dominate" bitcoin and crypto, potentially opening up the crypto market to trillions of tokenized dollars.

This week, the U.S. Senate voted 68 to 30 to advance the so-called Genius Act, which aims to regulate stablecoins. This bipartisan bill is scheduled for a final vote. If passed and signed into law by Trump, the Genius Act would provide a legal and regulatory framework for stablecoins, which are a form of cryptocurrency typically pegged to the U.S. dollar and used for faster and cheaper global money transfers.

Samir Kerbage, chief investment officer at Hashdex Asset Management, noted that this regulatory clarity could unlock trillions in financial and payment innovation. The stablecoin market, dominated by Tether’s USDT and Circle’s USDC, has grown from almost zero a decade ago to $250 billion today. Major financial institutions, retailers, and technology companies have shown keen interest in this rapidly expanding market.

Treasury Secretary Scott Bessent predicted that U.S. stablecoin legislation could boost the market tenfold to around $2 trillion, echoing a report from analysts. Trump, who has embraced bitcoin and crypto over the past year, aims to create clear and simple market frameworks that will allow the U.S. to dominate the future of crypto and bitcoin. He has also launched his own memecoin and U.S. dollar-pegged stablecoin through his family’s World Liberty Financial project.

Trump's growing ties to crypto have been a point of contention, with Democratic Party lawmakers using his crypto ventures to campaign against the Genius Act. Despite this, the anticipation of stablecoin regulation clarity has supported the bitcoin price, which has been volatile due to trade tensions. Analysts have noted that recent regulatory moves have helped stabilize the market, with bitcoin consolidating above $100,000.