I think it's great news for BTC in the long run. When people start piling out of the USD, they will turn to all sorts of alternatives. Gold, silver, foreign currencies, and of course BTC. I hope we see lots of currency competition.
That being said, there's not really a credit limit. If a bunch of people can sit in a room and enough of them raise their hands and the limit is increased, then it's not much of a limit. If I max out my credit card, it gets declined when I try to use it. I cannot vote to extend my credit line. If the government maxes out its credit card, it can vote to extend its credit line, as of course it will.