Bitcoin News: Bitcoin Rally Fueled by $7 Trillion U.S. Debt Shock and Macro Catalysts, According to 10x Research

Bitcoin's breakout to new all-time highs is being driven by record U.S. deficit spending and macro risks. With a $5T debt ceiling hike and key policy events looming, BTC is increasingly viewed as a macro hedge.Bitcoin Rally Driven by $7 Trillion U.S. Debt Shock, Not Hype, Say AnalystsBitcoin has surged to new all-time highs, but analysts say this rally isn’t rooted in hype or ETF speculation—instead, it reflects growing investor concerns over the U.S. fiscal outlook and macroeconomic instability.According to market research shared this week, the convergence of multiple events—including a proposed $5 trillion U.S. debt ceiling increase, rising deficit spending, and key upcoming policy decisions—is reshaping Bitcoin’s role in global markets. Analysts are now framing BTC less as a technological asset and more as a macro hedge, particularly amid fears of long-term fiat debasement.Two key dates are in focus:July 22, when a crypto policy report from former President Trump’s digital asset task force is expected to be released.July 30, when the Federal Reserve will hold its next FOMC meeting, potentially signaling rate policy amid surging fiscal expansion.Analysts also point to recent shifts in market structure:A notable reversal from call option selling to call buying.Seasonal strength in July.Over $1 billion in short liquidations as BTC broke past resistance.“The narrative has completely changed,” the research notes. “Bitcoin is no longer just about blockchain—it’s about global macro. It’s being treated as a store of value in an environment of excessive government spending.”This pivot follows a bullish signal in the firm’s trend model on July 2, aligning with Bitcoin’s breakout. Meanwhile, institutional flows and accumulation metrics suggest the rally is being driven by long-term capital rather than short-term speculation.The broader implication, analysts suggest, is that a debt-driven fiscal cycle could serve as the foundation for Bitcoin’s next growth phase—potentially making it one of the few assets to benefit from ongoing monetary expansion.