Is America going bankrupt? $1.8 billion in interest costs per day

The U.S. government currently pays $1.8 billion a day in interest on its federal debt. To put that number in perspective, three years ago it was $900 million per day. The US national debt also rose from $23 to $33 billion during this period.

What does this mean for the US dollar and is it good for the price of Bitcoin?

How will America solve this problem?

The big question, of course, is how the US government will ever solve this problem. Currently there appears to be no solution and the interest charges that have to be paid annually continue to increase…

Meanwhile, the government’s debt ceiling has also been lifted until 2025, allowing it to take on unlimited debt in the coming months.

This likely means that the US government will take on a lot of debt in the near future, and this seems to be a positive development for the price of Bitcoin.

Why?

Because this only makes Bitcoin’s absolute scarcity of 21 million units against the US dollar even more attractive.

2024 looks extremely bright for Bitcoin

This is perhaps the most important economic development in the world at the moment: the gigantic national debt that is spiraling further and further out of control.

Last year was marked by interest rate increases by central banks to combat inflation. While the coming years may be dominated by governments doing everything in their power to cut interest rates so they can continue to pay their debts…

In this regard, Bitcoin is going through an interesting time. Especially since we also have US spot Bitcoin ETFs about to launch and of course the next Bitcoin halving scheduled for April 2024.

Are we heading towards a new record level in 2024? Given all these developments, this is certainly a possibility.