📉 VIP MARKET ALERT: $BTC Drops After US Treasury Shifts Strategy
Price Action:
Bitcoin hit a record $124,457 before plunging below $119,000 within hours. Current price: $118,730.
What Happened:
• 🇺🇸 US Treasury Secretary Scott Bessent confirmed no further Bitcoin purchases for the Strategic BTC Reserve.
• Existing holdings ($15B–$20B) will remain, but future reserves will only come from seized crypto assets.
• This move ends speculation of large-scale government BTC buying funded by tariffs or gold reevaluation.
Background:
• 📜 March: President Donald Trump signed an order creating a Strategic BTC Reserve.
• 🚫 Halted auctioning of confiscated BTC to keep coins onshore.
• 🏰 Advisor David Sacks called it a “Digital Fort Knox” — a secure, long-term store of value.
Market Impact:
• ❌ No fresh Treasury demand = bullish momentum fades.
• 🔻 BTC loses $120K support after briefly surpassing Google’s market cap earlier today.
• 📊 Traders now eye private sector accumulation for the next rally.
Economic Context:
• 💰 US national debt at $37T.
• 📈 Some still see $BTC as an inflation hedge, but government-driven FOMO is now off the table.
TL;DR:
No new US BTC buys → sentiment shift → $BTC drops from $124,457 to $118,730 in hours.
