🦋U.S. Treasury Butterfly Effect · Part 4: The Treasury Makes a Move

Yields have surged to 5.33%—and the U.S. government can’t sit still.

On August 19, U.S. Treasury Secretary Bessent announced a major move: the scale of the long-term Treasury repurchase program was directly doubled—raising the single-operation amount from $2.0 billion to at least $4.0 billion.

What does that mean? The government has started buying its own bonds.

This move is quite smart: the authorities personally step in to support the market and bring the skyrocketing yields down. After the news broke, the 30-year yield promptly fell from 5.33% to 5.19%.

But the market sensed a deeper signal—why is the government suppressing its own interest rates?

There’s only one answer: it’s afraid that rates are too high, which would crush the economy and the national debt.

And once the government begins intervening in interest rates, diluting the purchasing power of its own currency, the smart money only asks one question: Where should my money go to hide?

The butterfly’s wings finally fluttered into the crypto world.

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