Crypto prices saw a thrilling surge around the weekend as Capitol Hill lawmakers exhibited signs of forestalling an unprecedented U.S. debt default. According to reports Republican House Speaker Kevin McCarthy and President Joe Biden bordered on a momentous agreement on America’s debt ceiling, meticulously gauging their backing to secure legislative triumph this week.
According to recent reports, Bitcoin surged by 2.9% in the past 24 hours, reaching approximately $27,500 while Ethereum experienced a 1.4% rise, hitting around $1,850. The two coins demonstrated a 2.4% hike throughout the week. Cardano and Solana stood out by passing the surge displayed by Bitcoin and Ethereum. Cardano exhibited a growth rate of 3.4% while Solana exhibited a growth rate of 5.4%.
Tron’s TRX was the only one to experience a slight decline, slipping by 0.4% to $0.076 in the past day. Nevertheless, Tron had an overall positive week. Cryptocurrency traders are attributing the increase in prices to the dispersing storm clouds over Capitol Hill.
With America’s coffers rapidly depleting, Treasury Secretary Janet Yellen issued a stern warning weeks ago, emphasizing the high stakes involved. She cautioned that the United States would face an “economic catastrophe” if the debt ceiling wasn’t raised in a timely manner.
The ongoing dispute between Democrats and Republicans has been prolonged for weeks, pushing the nation perilously close to what the White House refers to as America’s “X-date.” This critical threshold marks the point at which the government becomes unable to fulfil its debt obligations. According to Yellen, this crucial day could arrive as early as June 1.
In early May, Yellen recognised a significant split between Republicans and the President over the debt ceiling, with a focus on “wealthy tax cheats and crypto traders” as a contentious issue. Reports indicated uncertainty regarding Republican agreement on provisions affecting crypto investors in the debt ceiling bill
As June 1 approaches, Washington’s ability to effectively resolve the situation remains unclear, along with the potential impact of a last-minute deal on the markets. Nonetheless, at present, the crypto markets seem to be factoring in a certain level of confidence in the bipartisan efforts.