The Federal Reserve’s 29.4 billion USD liquidity injection may contradict Chair Powell’s hawkish stance, yet it signals potential stress in funding markets. Historically, liquidity changes have led to substantial movements in Bitcoin’s price, hinting at a promising Q4 run.
As overnight repo demand hits a five-year high, concerns over market liquidity rise, suggesting that the Fed could implement quantitative easing quicker than expected. This scenario may position Bitcoin favorably for upcoming market rallies.
Leave a Reply