{"id":147276,"date":"2025-10-27T05:07:13","date_gmt":"2025-10-27T05:07:13","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/147276\/"},"modified":"2025-10-27T05:07:13","modified_gmt":"2025-10-27T05:07:13","slug":"its-over-wall-street-is-quietly-gearing-up-for-a-6-6-trillion-fed-flip-as-the-bitcoin-price-suddenly-soars","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/147276\/","title":{"rendered":"It\u2019s \u2018Over\u2019\u2014Wall Street Is Quietly Gearing Up For A $6.6 Trillion Fed Flip As The Bitcoin Price Suddenly Soars"},"content":{"rendered":"

Bitcoin has swung wildly this month as Elon Musk suddenly sets alarm bells ringing<\/a> and warnings of an an \u201cimminent dollar and financial crisis” spook traders<\/a>.<\/p>\n

Sign up now for <\/strong>CryptoCodex<\/strong><\/a>\u2014A free crypto newsletter that will get you ahead of the market<\/strong><\/p>\n

The bitcoin price has surged back from a \u201cflash crash\u201d that sent it toward $100,000 per bitcoin, up almost 10% and topping $111,000 as Binance\u2019s founder Changpeng \u201cCZ\u201d Zhao issues a huge, $28 trillion bitcoin prediction<\/a>.<\/p>\n

Now, as U.S. president Donald Trump weighs a $2,000 Covid stimulus check-style tariff dividend<\/a>, Wall Street giants are bracing for the Federal Reserve to end the reduction of its $6.6 trillion balance sheet, known as quantitative tightening\u2014and predicted to unleash a fresh round of central bank money printing and send bitcoin to a $1 million price<\/a>.<\/p>\n

Sign up now for the free <\/strong>CryptoCodex<\/strong><\/a>\u2014A daily five-minute newsletter for traders, investors and the crypto-curious that will get you up to date and keep you ahead of the bitcoin and crypto market bull run<\/strong><\/p>\n

Forbes\u2018It Will Happen\u2019\u2014Binance\u2019s CZ Issues Massive $28 Trillion Bitcoin Prediction As Crypto Braces For \u2018Inevitable\u2019 Price ShockBy Billy Bambrough<\/a>\"Federal<\/p>\n

U.S. Federal Reserve chair Jerome Powell has said he’s looking to end the period of so-called quantitate tightening that’s sucked liquidity from the market\u2014something some expect to send the bitcoin price sharply higher.<\/p>\n

Getty Images<\/p>\n

\u201cStarting in next year, we\u2019re going to see an acceleration of money printing at least out of the United States,\u201d Arthur Hayes, the cofounder of crypto derivatives pioneer BitMex who went onto launch the Maelstrom investment company, said<\/a> in a wide-ranging interview with crypto news outlet Milk Road, pointing to a speech earlier this month by Fed chair Jerome Powell.<\/p>\n

\u201c[Quantitative tightening] is over. They\u2019re going to be releasing trillions of dollars into the mortgage markets. Rates are coming down and so the environment is ripe for appreciation of assets.\u201d<\/p>\n

The Fed\u2019s quantitative tightening program, which began in 2022, has reduced the Fed\u2019s balance sheet to $6.6 trillion, from around $9 trillion at its peak, putting pressure on risk assets such as bitcoin as the Fed tries to suck liquidity from the system.<\/p>\n

\u201cOur long-stated plan is to stop balance sheet runoff when reserves are somewhat above the level we judge consistent with ample reserve conditions,\u201d Powell said in a speech, while also opening the door to further interest rate cuts.<\/p>\n

This week, analysts with JPMorgan and Bank of America predicted the Fed will this month stop shrinking its $6.6 trillion balance sheet, in notes seen<\/a> by Bloomberg, ending a process designed to remove liquidity from financial markets.<\/p>\n

“Money markets at current or higher levels should signal to the Fed that reserves are no longer \u2018abundant,” Bank of America\u2019s Mark Cabana and Katie Craig wrote.<\/p>\n

Meanwhile, the Fed is widely expected to cut interest rates again, shaving off another 25 basis points next week after resuming its rate cutting cycle in September\u2014something that is also expected to fuel risk assets such as bitcoin as cash more easily flows around the system.<\/p>\n

The delayed consumer price index (CPI) report for September on Friday showed U.S. inflation rose less than expected to 3% last month, below the expectations of 3.1% among economists polled by Bloomberg.<\/p>\n

Sign up now for <\/strong>CryptoCodex<\/strong><\/a>\u2014A free crypto newsletter that will get you ahead of the market<\/strong><\/p>\n

Forbes\u2018It\u2019s Game Over\u2019\u2014\u2018Imminent\u2019 Fed U.S. Dollar \u2018Crisis\u2019 Predicted To Spark Bitcoin Price Tipping Point As Gold SoarsBy Billy Bambrough<\/a><\/p>\n

The bitcoin price has dipped back from its all-time highs but some are predicting bitcoin and other risk assets are about to surge.<\/p>\n

Forbes Digital Assets<\/p>\n

\u201cGiven the latest news on layoffs, some analysts may be wondering if the central bank should go for a bigger cut, if not this month, then maybe in December,\u201d David Morrison, senior market analyst at Trade Nation, said in emailed comments.<\/p>\n

\u201cThe Federal Reserve has made it clear that it is far more worried about the labour market than it is about inflation.\u201d<\/p>\n

The bitcoin price has matched gold\u2019s rally over the last 12 months, with the pair surging as part of the so-called “debasement trade\u201d that\u2019s seen traders turn to hard assets like gold, silver and bitcoin as hedges against money printing and inflation that reduces the dollar\u2019s purchasing power.<\/p>\n

\u201c[Gold and silver are] really being purely valued on fiat debasement, whereas bitcoin and crypto still have this connection to to U.S. big tech, which I think they\u2019ll shed at some point,\u201d Hayes told Milk Road. “But in any event, we know which way the world is going. It\u2019s more fiat debasement. Those who have the foresight, who are looking what\u2019s going on, they are voting with their money and they\u2019re saying, \u2018I want gold. I want bitcoin. I want silver. I want stocks.\u2019 I just think that crypto is the fastest horse.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Bitcoin has swung wildly this month as Elon Musk suddenly sets alarm bells ringing and warnings of an…\n","protected":false},"author":2,"featured_media":147277,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[73],"tags":[214,31735,79,14502,18,182,19,17,5129,211],"class_list":{"0":"post-147276","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-bitcoin","9":"tag-bitcoin-price","10":"tag-business","11":"tag-crypto","12":"tag-eire","13":"tag-federal-reserve","14":"tag-ie","15":"tag-ireland","16":"tag-jerome-powell","17":"tag-wall-street"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/115444399772541795","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/147276","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=147276"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/147276\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/147277"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=147276"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=147276"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=147276"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}