Bitcoin News Today: Bitcoin Surges 60% Driving Crypto Market to $4 Trillion Awaiting Policy Shift

Bitcoin, having recently reached an all-time high of $123,000 per bitcoin at the start of the week, is poised for another significant move. The bitcoin price, which has surged around 60% from its April lows, has driven a substantial rally in ethereum and XRP, propelling the combined crypto market to nearly $4 trillion. This surge is anticipated to unleash even more trillions, with a potential game-changer from Congress on the horizon.

As Tesla billionaire Elon Musk confirms rumors about bitcoin, traders are focusing on next week as the "next big catalyst" for the bitcoin price, ethereum, XRP, and the broader crypto market. The U.S. president's digital asset task force is scheduled to release its report next week, which could introduce sweeping policy changes, including speculation around a potential bitcoin reserve strategy.

The task force, established by an executive order in January, has until July 22 to submit its final report on a proposed federal framework for the regulation of crypto, including stablecoins, market oversight, and consumer protection. This week, the Republican-controlled U.S. House of Representatives cleared a final procedural hurdle after nearly 10 hours of talks, setting up a final vote on closely-watched stablecoin legislation. If the stablecoin Genius Act is passed, it will go to the president's desk for signature, while the crypto market structure Clarity Act may receive a vote next week.

The task force's report could reveal plans for a U.S. bitcoin strategic reserve, as mandated by the president in March. This reserve would involve federal agencies transferring their holdings to the Treasury Department, which would oversee the reserve, as well as a crypto stockpile that includes ethereum, XRP, solana, and cardano. David Sacks, the president's artificial intelligence and crypto czar, has been working on "budget-neutral" strategies for acquiring bitcoin. Senator Cynthia Lummis, a champion of the bitcoin reserve, has introduced bitcoin acquisition bills to Congress and has indicated that following the passage of the stablecoin and market structure bills, the administration will turn its attention to the bitcoin reserve.

Investors are closely monitoring for signs of a policy shift that could unleash the next wave of inflows. The current surge in bitcoin's price reflects increased institutional inflows, growing confidence in digital assets as foundational infrastructure, and a call for regulatory clarity. This historic moment for both bitcoin and the broader crypto market underscores the potential for significant growth and the need for clear regulatory frameworks to support this emerging asset class.