How a Treasury buyback tweak helped bitcoin surge 25% to nearly $80,000 in days
Treasury buybacks are not QE, analysts said, but the move helped pull long-term yields off 19-year highs and triggered a record short squeeze in a market already leaning too bearish.
Source: CoinDesk
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DW NOTE
Treasury buybacks are mechanical liquidity injections that suppress term premia regardless of what you call them. The Fed held rates steady this week while the Strait of Hormuz remains effectively shut, oil supply is projected down 4%, and multi-theater conflict continues — yet bitcoin rallies 25% on plumbing adjustments in the bond market. Risk assets now price monetary accommodation that isn't policy, in a macro environment that hasn't improved.