Bitcoin may benefit from a liquidity crunch that occurs after 2023.
Jack Mallers, CEO of Strike, sees this as a validation for Bitcoin.BTCThe Federal Reserve, according to, will undoubtedly respond by driving BTC’s price higher.
“Bitcoin is accurately smelling trouble right now,” He said Primal, the social media platform for Friday.
“The US is going to have to inject some of that sweet, sweet liquidity soon and print a ton of money or else their fiat empire goes kaboom.”
X is the one who will be hearing our conversation. said, “Bitcoin is the most sensitive to liquidity. It moves first. It’s a truth machine.”
“Yields are puking, spreads blowing out, and banks are stressed. Bitcoin is working. It smells trouble. When they’re forced to print, it’ll move first again, and outperform everything.”
US Banking Crisis Re-Examined
The march 2023 regional bank crisis was never truly resolved — just papered over with government bailouts and acquisitions.
But this also created moral hazards, banks They took on excessive risk knowing that the Federal Deposit Insurance Corporation would cover deposits above the FDIC limits.
Wall Street has become increasingly concerned over the health of regional banks in the United States, after the writing off of bad commercial loans. reported The Associated Press reported on this Friday.
Related: Bitcoin hits 15-week low under $105K as US regional bank woes echo 2023
Zions Bank’s and Western Alliance’s stocks fell due to loan difficulties this week, which sparked broader concerns because the confidence of regional banks was never fully restored beyond 2023.
US banks are still vulnerable to government-backed guarantees, and not sound financial practices. explained The Kobeissi Message
Bitcoin falls to 4-month-low
Bitcoin has not yet reaped any benefits of the banking crisis.
This asset plummeted to its lowest level in four months, $103,850. It lost over $5,000 within a few hours.
The stock has recovered and traded at $107,000 in Asia on Saturday morning, but is still down by more than 15 percent from its high.
“BTC on sale. If this US regional banking wobble grows to a crisis, be ready for a 2023-like bailout. And then go shopping, assuming you have spare capital,” said BitMEX founder Arthur Hayes.
Magazine: Binance shakes up Korea, Morgan Stanley’s security tokens in Japan: Asia Express
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Source: cointelegraph.com
