The Ministry of Finance wants to suppress U.S. Treasury yields, but ended up buying Bitcoin for 80,000
Bessent’s $4 billion bond repurchase plan was originally meant to push down long-term U.S. Treasury yields. But the market didn’t follow the script. Instead, the money took a detour and went straight into Bitcoin, driving the price up by 80,000.
This round of moves is nothing short of a policy fail. Repurchase bonds and inject liquidity—intended to stabilize the bond market—but risk assets got excited first. Chasing this train to crypto—whoever gets on knows.
Actually, the logic also makes sense. If yields can’t be pushed down, it shows the market’s confidence in U.S. Treasuries is wavering. Funds still have to go somewhere, and hard assets like Bitcoin become the pressure-release valve. The more policymakers try to stabilize things, the faster the money runs.
Bessent’s thinking is to learn from the 2023 Yellen playbook—prolonging life for the market through repo operations. But times are different now: the debt scale is larger, and the market is more sensitive. The same medicine, but different effects.
For the crypto market, this rally isn’t just crypto people patting themselves on the back. It’s a macro “gift box.” As long as the troubles in Treasuries aren’t resolved, Bitcoin’s macro narrative will keep running. Every time policy loosens, it delivers ammunition to crypto.
At this week’s Jackson Hole summit, everyone is watching what Powell will say. The market is focused on it all. If the Fed also shows up late, the 80,000 could be only the starting point. But if it turns hawkish, a pullback would be no surprise—volatility will be big. Buckle up.
This move also sends a signal: the Ministry of Finance’s tool focus is shifting from suppressing yields to managing debt costs. The market is also repricing policy expectations, and there are even more variables.
Every day, I’ll take you to follow BTC hot topics—not just to see what’s happening in the news, but to understand the logic and opportunities behind it 👀🚀
Click the link below to follow me 👇🏻加入小恐龙粉丝群
#Bitcoin #U.S.Treasury #macroeconomics
Bessent’s $4 billion bond repurchase plan was originally meant to push down long-term U.S. Treasury yields. But the market didn’t follow the script. Instead, the money took a detour and went straight into Bitcoin, driving the price up by 80,000.
This round of moves is nothing short of a policy fail. Repurchase bonds and inject liquidity—intended to stabilize the bond market—but risk assets got excited first. Chasing this train to crypto—whoever gets on knows.
Actually, the logic also makes sense. If yields can’t be pushed down, it shows the market’s confidence in U.S. Treasuries is wavering. Funds still have to go somewhere, and hard assets like Bitcoin become the pressure-release valve. The more policymakers try to stabilize things, the faster the money runs.
Bessent’s thinking is to learn from the 2023 Yellen playbook—prolonging life for the market through repo operations. But times are different now: the debt scale is larger, and the market is more sensitive. The same medicine, but different effects.
For the crypto market, this rally isn’t just crypto people patting themselves on the back. It’s a macro “gift box.” As long as the troubles in Treasuries aren’t resolved, Bitcoin’s macro narrative will keep running. Every time policy loosens, it delivers ammunition to crypto.
At this week’s Jackson Hole summit, everyone is watching what Powell will say. The market is focused on it all. If the Fed also shows up late, the 80,000 could be only the starting point. But if it turns hawkish, a pullback would be no surprise—volatility will be big. Buckle up.
This move also sends a signal: the Ministry of Finance’s tool focus is shifting from suppressing yields to managing debt costs. The market is also repricing policy expectations, and there are even more variables.
Every day, I’ll take you to follow BTC hot topics—not just to see what’s happening in the news, but to understand the logic and opportunities behind it 👀🚀
Click the link below to follow me 👇🏻加入小恐龙粉丝群
#Bitcoin #U.S.Treasury #macroeconomics