Global Markets Slip Amid Risk Aversion

Dow Jones Newswires

By Dow Jones Newswires Staff

U.S. stock futures and international equities markets started the week lower and bond yields rose as investors shifted away from risky assets. Comments from Bank of Japan governor Kazuo Ueda fuelled the risk-off mood. Earlier, Ueda said the BOJ will thoroughly discuss the possibility of an interest-rate increase at its mid-December policy meeting as investors fret about the potential impact of fiscal stimulus there.

The dollar eased and bitcoin fell to a one-week low.

ISM surveys for November for manufacturing later Monday and services on Wednesday and ADP private payrolls figures for November will be closely watched, with any signs of weakness in the job market or economic activity adding to prospects for a Federal Reserve rate cut.

U.S. futures for the Nasdaq were recently down 0.6%, those for the S&P 500 were down 0.5% and futures for the Dow Jones Industrial Average fell 0.4%. Changes in futures do not necessarily predict movements after the opening bell. The major indexes had closed out the month near record highs partly driven by growing expectations that the Fed will cut interest rates.
Early in Europe, the Stoxx Europe 600 fell 0.3%, reflecting falls of around 0.5% in major indexes such as France's CAC 40 and Germany's DAX. The U.K.'s FTSE 100 lost 0.1%.
In Asia, Japan's Nikkei 225 index dropped 1.9% as growing expectations for a rate increase by the Bank of Japan also earlier lifted the domestic yield curve across the board. Chip and real-estate stocks led the declines. At one point, the 10-year Japanese government bond yield was up 7.5 basis points to 1.875%, touching its highest level since June 2008, before easing back. Hong Kong's Hang Seng climbed 0.7% and South Korea's Kospi slipped 0.2%.
U.S. Treasury yields rose late in Asian trade; the two-year Treasury yield was up 0.5 basis point to 3.495% while the 10-year Treasury yield rose 2.1 basis points to 4.039%, according to Tradeweb data. Yields on U.K. government bonds climbed along with their Japanese and eurozone counterparts.
The dollar fell against a basket of major currencies, with the DXY Dollar Index edging down 0.1% to 99.371 after hitting a two-week low of 99.317 overnight.
Bitcoin fell, failing to sustain its recent recovery above $90,000. "Bitcoin tends to be a leading indicator for overall risk sentiment right now, and its slide does not bode well for stocks at the start of this month," XTB's Kathleen Brooks said in a note. Bitcoin was recently down 5.1% to $86,544 after earlier reaching a one-week low of $85,663, according to LSEG data.
Oil prices climbed after OPEC+ members decided to leave output steady and as traders monitor geopolitical tensions in Eastern Europe and Venezuela. Brent crude rose 2% to $63.66 a barrel, while WTI was up 2.2% to $59.85 a barrel. Operations at the Black Sea terminal of the Caspian Pipeline Consortium--which exports oil mainly from Kazakhstan--were halted due to damage caused by a Ukrainian drone attack, according to media reports.
Gold prices were up on a softer U.S. dollar and renewed expectations that the Fed will cut interest rates further this year. New York gold futures were up 0.5% to $4,276.80 a troy ounce, while spot gold gained 1.2% to $4,215.82 an ounce.

Write to Barcelona Editors at barcelonaeditors@dowjones.com

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$300 Million Crypto Bet: Kazakhstan’s Central Bank Gears Up

NewsBTC

Kazakhstan’s central bank has signaled plans to place up to $300 million into crypto and crypto-linked assets, a move that would mark one of the clearest examples yet of a sovereign institution putting reserve money into this market. Based on reports, the funds would come from the country’s gold and foreign-exchange reserves rather than its social or oil wealth funds.

Central Bank Moves Cautiously

According to central bank briefings and market reporting, the investment will not be made all at once. Initial tranches could be modest — figures discussed publicly include amounts like $50 million and $100 million as possible early steps, with larger allocations of $250 million also on the table if conditions allow. The plan appears to be phased, with the bank watching price swings and market signals before committing major sums.

The assets under consideration may include direct holdings of crypto tokens or instruments linked to the crypto sector, such as exchange-traded products and equity stakes in companies that serve the industry. Based on reports, the central bank’s alternative investments arm, which already holds high-tech and financial assets, would manage the placement.

Investment Targets And Broader Plans

Reports have disclosed that this move sits alongside a wider push to create a national digital-asset reserve fund. Officials and informed sources have mentioned target sizes in the range of $500 million to $1 billion for that reserve. That proposed fund would focus more on ETFs and corporate equity than on simply holding tokens in wallets.

An existing state initiative, the Alem Crypto Fund, has already taken public steps into the market. In September 2025 the fund made an investment in the cryptocurrency BNB, signaling that parts of the state apparatus are experimenting with exposure to digital assets. That action is being watched closely by both domestic policymakers and foreign observers.Risks And Safeguards

The central bank has stressed caution. Large price swings in major tokens have been noted as a reason to phase investments slowly. The proposed $300 million allocation, according to briefings, would be drawn from non-essential reserves — explicitly kept separate from Kazakhstan’s National Fund that pays for public programs — which is meant to protect social spending from market losses.

Some of the purchases, reports suggest, could be executed through regulated financial products rather than raw token buys, lowering custody and liquidity risks. The decision to structure the program in stages is intended to reduce the chance of a sudden, large loss if markets move against the holdings.

Featured image from kursiv.media, chart from TradingView

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HashKey edges toward Hong Kong listing while China chills stablecoin plans

Cointelegraph

HashKey Holdings, the parent company of one of Hong Kong’s largest licensed crypto exchanges, has moved a step closer to a public listing, according to new filings from the Hong Kong Stock Exchange (HKEX).

On Monday, the HKEX published a 633-page post-hearing information pack for HashKey Holdings. The document was published at the request of The Stock Exchange of Hong Kong Limited and the local financial regulator, the Securities and Futures Commission (SFC).

A post-hearing information pack is only published after HKEX’s listing committee formally clears an applicant at the listing hearing. In other words, without explicitly stating it, this document indicates that HashKey has moved closer to listing on the exchange and is progressing toward its initial public offering (IPO).

At the same time, the document stresses that the deal is not yet finalized. “The listing application referred to in this document has not yet been approved; the HKEX and the SFC may accept, return, or reject the public offering and/or listing application.”

This is standard HKEX disclaimer language and does not contradict HashKey’s approval. Instead, it refers to listing being dependent on completing the offering documents.

HashKey’s IPO is likely to attract significant attention

The news follows early October reports that HashKey was aiming for an IPO and a listing in Hong Kong this year. At the time, the report was largely based on rumors, citing anonymous sources with purported knowledge of the matter.

HashKey is Hong Kong’s top crypto exchange with a 24-hour volume of nearly $108 million at the time of writing, according to CoinGecko data. The information pack also lists the world’s top bank, JPMorgan, and local financial institutions Guotai Junan International and Haitong International as joint sponsors for the listing.

Interest in the offering is likely high, considering that in mid-February, China-based Gaorong Ventures reportedly invested $30 million in HashKey, granting it unicorn status. The pre-money valuation of the investment was purportedly almost $1.5 billion, but reports cited unidentified sources that could not be independently verified.

The platform is also looking to expand its reach. In early January, its subsidiary HashKey Europe received approval for a virtual asset service provider license from the Central Bank of Ireland.

China quarantines Hong Kong’s crypto industry

Hong Kong’s growing crypto industry is not well-received by mainland Chinese authorities. Hong Kong began accepting applications from stablecoin issuers in August after introducing a dedicated regulatory framework.

The introduction of the stablecoin licenses in Hong Kong attracted the interest of Chinese technology giants, including Ant Group and JD.com. At the time, reports suggested that HSBC and the Industrial and Commercial Bank of China (ICBC) planned to apply for stablecoin licenses in Hong Kong.

However, Chinese authorities told local firms to stop publishing research or holding seminars related to stablecoins in early August. In September, a now-deleted report by Chinese financial outlet Caixin claimed that mainland Chinese firms operating in Hong Kong may be forced to withdraw from cryptocurrency-related activities.

This was followed by reports in late October that Chinese technology giants, including Ant Group and JD.com, had reportedly suspended plans to issue stablecoins in Hong Kong due to regulatory concerns. On Saturday, the People’s Bank of China — mainland China’s central bank — said after a meeting with 12 other agencies that “virtual currency speculation has resurfaced,” reiterating that “virtual currency-related business activities constitute illegal financial activities,” in line with its 2021 ban on crypto trading and mining.

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Why Solana Price Fell Harder Than Bitcoin During the Recent Market Crash? Will it Hit $100?

Coinpedia

In less than a fortnight, the Bitcoin price crashed below $86,000 as the bid-side liquidity dried up causing massive volatility and liquidation. A ripple effect caused the Ethereum price to plunge close to $2800 while a deeper correction was seen with the Solana price. The token dropped below $130 for the second time, raising alarms for the upcoming price action.

Solana’s sharp decline alongside the broader crypto market caught traders off guard, but on-chain data shows the network was already signaling weakness well before the downturn. While Bitcoin’s drop was driven by liquidity gaps, Solana’s slide was rooted in fading on-chain momentum, shrinking user activity, and slower ecosystem flows, all of which left SOL vulnerable the moment macro pressure arrived.

Active Users and Transactions Began to Cool Off

The active address count is an important indicator that sheds light on the overall health of the platform. As it suggests, the total number of addresses interacting with the platform to perform a buy/sell or a swap trade. If the levels rise, it suggests more demand for the crypto, increased utility and more on-chain movement. However, there has been a massive downfall in the active address and has remained consistently below 3 million since July 2025.

Since early 2025, Solana’s on-chain activity has gradually decreased. The daily active addresses, which were between 7 and 9 million, had dropped to 3 to 4 million by midyear. Since then, levels have remained stagnant around the range, slowing transaction growth as well. As a high-throughput network, the decline in user engagement and fading speculative activity indicated weakened momentum.

Consistent Drop in DEX Volume & TVL

The rise of memecoins was one of the reasons behind the bull run earlier. Moreover, the Solana-based memecoins have made a huge impact in recent times. As these were hype-driven, they had to fade, which has been reflected in the Solana DEX volumes as well. Solana’s explosive activity earlier this month was fueled largely by high-frequency memecoin trading. But as volatility settled, DEX volumes on platforms like Jupiter and Raydium dropped noticeably.

The data from Defilama shows a consistent drop since the beginning of the fourth quarter, indicating fewer speculative inflows, lower fee burns, and less liquidity rotation into Solana. This shift has played a significant role in weakening the buy-side depth before the recent market crash. A similar trend was seen with the TVL, substantiating the persisting bearish influence over the token as it indicated capital outflow, weakening confidence and reduced usage of the protocol.

Will Solana Price Recover?

Similar to the BTC price, the Solana price has also been forming consecutive lower highs and lower lows. This usually reflects the rising bearish influence over the token as seen during the previous bear markets. However, the price is trying to defend the support zone, which has been a strong base since the start of 2024 in the times of extended bearish action. Therefore, if the bulls manage to defend this time, a decent rebound could be imminent.

The SOL bulls are trying to defend the support zone between $121 and $128 for the third week while the volume drained. On the other hand, the weekly RSI is also following the descending trend line, signalling the weakening of the strength of the rally. The current pattern suggests more downturn could be possible, dragging the levels close to $100 or slightly below in the coming days.

Solana generally rebounds quickly when on-chain activity accelerates or if memecoin volume returns or DEX activity rises. For now, the traders are required to keep a close watch on these, as a revival in either of these may revive the Solana ecosystem growth and the SOL price.

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$50K BTC price crash 'inevitable:' 5 things to know in Bitcoin this week

Cointelegraph

Bitcoin threatens a fresh crash as December begins with a snap 5% BTC price drawdown.

Bitcoin price volatility hits around the November monthly close, with returning to near $85,000.
Analysis blames a lack of market liquidity for the move, while history warns that bearishness should continue in December.
Key US inflation data is due as markets preserve Fed rate-cut bets despite concerns over Japan.
The Coinbase Premium may have ended its brief trip into “green” territory thanks to the BTC price dip.
Stablecoin dry powder hits all-time highs relative to BTC reserves on Binance.

Bitcoin “dead cat bounce” fields $50,000 target

Bitcoin price action went straight back to its pre-Thanksgiving range around the weekly and monthly close.

Data from Cointelegraph Markets Pro and TradingView confirms a classic “Bart Simpson” style chart pattern to start December.

Losses drove down to as low as $85,616 on Bitstamp before a modest bounce, while 24-hour liquidations stood at over $600 million at the time of writing, according to data from monitoring resource CoinGlass.

Reacting, some popular market participants were unsurprisingly bearish on what was to come. Trader Roman described a return to $50,000 as “inevitable.”

Roman
@Roman_Trading
$BTC 1W
50k is inevitable.
Be ready to buy. pic.twitter.com/OkNCceCCbE
Dec 01, 2025

“Bitcoin needs to reclaim the $88,000-$89,000 level here; otherwise, it’ll drop towards the November low,” crypto investor and entrepreneur Ted Pillows warned in a post on X.

Examining long-term BTC price action, veteran trader Peter Brandt has even revived the idea of sub-$40,000 levels.

Last week, Brandt warned that Bitcoin’s recovery above $90,000 could constitute a “dead cat bounce” — one which he now suspects could be over.

Peter Brandt
@PeterLBrandt
Not to bust anyone's banana, but the upper boundary of the lower green zone starts at sub $70s with lower boundary support in the mid $40s.
How soon before Saylor's Shipmates ask about the life-boats? $BTC pic.twitter.com/YLfjSDdw9H
Dec 01, 2025

Meanwhile, more optimistic forecasts focus on a range-bound slowly reclaiming lost support levels.

“Overall: This could form a $80k - $99k range,” trader CrypNuevo concluded in his latest X thread.

CrypNuevo identified various key levels to flip, including the 50-week exponential moving average (EMA) and 2025 yearly open.

“My major concern is that we’re currently below the 1W50EMA which is a strong bull/bear market indicator. Could it be a deviation? Yes. There is past history of such deviations,” he wrote.

“Technically, I can't support the bullish case until price is back above it ($99.8k).”

No “fundamental decline” in crypto

Bitcoin’s sudden dive just as the weekly and monthly candle closes concluded a grim month of downward volatility for bulls.

The latest data from CoinGlass confirms that finished November down 17.7% — its worst performance since the 2018 bear market.

Q4 losses currently total 24.4%, placing Bitcoin on par with its decline from its previous highs of $20,000 seven years ago.

As Cointelegraph reported, history suggests that a “red” November leads to copycat performance in the last month of the year.

Commenting on the monthly close drama, however, trading resource The Kobeissi Letter pointed to system market weakness as a result of losses that had already locked in.

“As seen countless times this year, Friday night and Sunday night often come with LARGE crypto moves. Just now, we saw Bitcoin fall -$4,000 in a matter of minutes without ANY news at all,” it wrote in a dedicated X post on the topic.

“Why? Liquidity is thin.”

Kobeissi nonetheless repeated its idea that crypto’s technical bear market — the result of a more than 20% drop from all-time highs — remains “structural.”

“We do NOT view this a fundamental decline,” it stressed.

CoinGlass’s liquidation heatmap showed fresh asks being added overhead on spot markets, with $85,000 acting as a nearby area of support at the time of writing.

Eyes on Japan as “hawkish” mood returns

The Federal Reserve’s “preferred” inflation gauge is making a long-awaited comeback after months of delays caused by the US government shutdown.

The Personal Consumption Expenditures (PCE) index will give officials key insights into inflation trends at a key point in time — the Fed’s next interest-rate decision is less than two weeks away.

Markets remain upbeat on the outcome, with CME Group’s FedWatch Tool putting odds of a 0.25% cut at over 87% at the time of writing.

Jitters ahead of the weekly open, which saw US stock futures slip amid concerns over Japan’s financial stability, failed to dent the outlook.

“Japan’s 10Y Government Bond Yield surges to 1.84%, its highest level since April 2008,” The Kobeissi Letter wrote in an X post on the topic.

“This chart is concerning to say the least.”

Reacting to the latest market moves, Arthur Hayes, former CEO of crypto exchange BitMEX, pinned the blame for downward volatility firmly on the Bank of Japan (BoJ).

“$BTC dumped cause BOJ put Dec rate hike in play. USDJPY 155-160 makes BOJ hawkish,” he explained.

A Japanese rate hike would stand out conspicuously against an environment in which central banks continue to relax financial conditions.

“Financial conditions have eased over the last 2 years from one of the most restrictive levels since 2001. The move has been similar to the one seen following the 2008 Financial Crisis,” Kobeissi summarized at the weekend.

“This comes as over 90% of global central banks have either cut or kept rates unchanged over the last 12 months, the highest percentage since 2020-2021. World monetary policy has rarely ever been this loose.”

Coinbase Premium recovery on the edge

After the Thanksgiving holiday, the focus will shift to the first US trading session as traders assess US market demand for Bitcoin priced below $90,000.

The move down could have significant implications for the Coinbase Premium, the crypto industry’s yardstick for US demand, which has only just flipped positive.

As Cointelegraph reported, the Premium reflects the difference in price between Coinbase’s and Binance pairs. A positive Premium implies heightened buying during US trading hours, with the opposite often seen as a sign of overall crypto market weakness.

Data from onchain analytics platform CryptoQuant shows that the Premium spent almost all of November in negative territory, only exiting during Thanksgiving.

Commenting, CryptoQuant contributor Cas Abbe had a potential silver lining for Bitcoin bulls.

“Some good signs of bottom are emerging now,” he told X followers at the weekend.

“Coinbase Bitcoin premium has been positive, despite BTC prices going down. This was one of the signs which started the reversal in April 2025.”

Abbe referred to Bitcoin’s trip below $75,000 in Q2 this year, an event that has so far marked a long-term BTC price floor.

Continuing, popular X account Against Wall Street argued that Premium signals in both directions take time to play out.

“Notice something: just because the index turned red, we didn’t crash in a single day. And when it flips green, we’re not going to moon in a single day either,” part of a recent X post read.

“This is about trend. It’s about momentum shifting. That’s what you need to pay attention to.”

Stablecoin “dry powder” hits record

Amid nerves over the future of the crypto bull market, stablecoin trends point to a fresh round of mass capital deployment waiting in the wings.

CryptoQuant figures tracking stablecoin reserves on the largest global exchange, Binance, confirmed a new record over the past week.

Binance’s ratio of stablecoins versus its BTC reserves has never been more skewed in favor of the former.

“This freefall indicates an unprecedented accumulation of ‘buying power,’ contributor CryptoOnChain commented in a “Quicktake” blog post Monday.

“Currently, the volume of stablecoins parked on Binance (dry powder) relative to available Bitcoin is at its highest level in over 6 years.”

The post referenced stablecoin liquidity as a method of quick capital deployment in the event of a market turnaround, implying enduring faith in such a move eventually taking place.

“When the scale tips this heavily in favor of stablecoins, it means the market is ‘locked and loaded,’” CryptoOnChain concluded alongside a print of the stablecoin ratio.

“As the green bars on the chart suggest, history shows that hitting such lows often precedes powerful Bitcoin rallies, simply because the liquidity required to fuel a price surge is now fully available on the exchange.”

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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Bitcoin Price Collapse Signals Risk-Off Mood in Crypto Markets

Finance Magnates

After touching more than $126,000 in October, Bitcoin plunges below $86,000 in early December, a sobering wake-up call for investors betting on a perpetual bull run

The Drop: What Happened?

It did not go quietly. In early Asian trading on Monday December 1, Bitcoin dropped sharply. The world’s biggest cryptocurrency lost up to 6 percent, dipping below $86,000. Earlier reports had flagged it crossing under $88,000, already a bruising moment after a rally that earlier pushed Bitcoin into six-figure territory.

Bitcoin isn’t alone in this. Across the crypto market, tokens followed the same flight path. Ethereum, for instance, tumbled by more than 7 percent to around $2,800 in the same session, along with drops for RP, BNB, Solana, Cardano, Tron and more.

Why It’s Falling: Risk Sentiment, Macro Jitters, and Exhausted Buyers

The decline is being widely described as a “risk-off start to December”, meaning investors are dumping risky assets, and crypto is at the top of that list.

The Kobeissi Letter
@KobeissiLetter
BREAKING: Bitcoin falls -$4,000 in 2 hours as mass liquidations return.
$400 million worth of levered longs have been liquidated over the last 60 minutes. pic.twitter.com/qKB7MYJapu
Dec 01, 2025

Investor caution has ramped up amid macroeconomic uncertainty. With fewer expecting interest-rate relief from the Federal Reserve and inflation still stubborn in major economies, risk assets are getting trashed, and crypto is no exception. In addition, there are fears that the Bank of Japan is set to raise interest rates.

Absence of Dip-Buyers and Raised Red Flags

Normally, when Bitcoin dips, a fresh wave of buyers swoops in thinking they’re getting a steal. Not this time. Analysts point to “meagre inflows into Bitcoin exchange-traded funds and the absence of dip buyers” as a key reason why the fall accelerated.

With no immediate bargain hunters coming in, leveraged positions likely unwound quickly. The result: more liquidations, more downward pressure, more panic.

Macro Cross-Winds and Institutional Strain

The crypto rally had been partly fueled by hopes around rate cuts and institutional capital flows. That tide may be turning. Some institutional holders are now sitting on losses. With falling prices, there’s also pressure on crypto-heavy firms and funds, which may spark forced selling.

The ₿itcoin Therapist
@TheBTCTherapist
My family: You’ve been buying bitcoin for over 5 years you must be so rich by now
Me:pic.twitter.com/P1bVIOLBG3
Dec 01, 2025

The broader pattern recalls previous sell-offs: high volatility, quick reversals, and a steep flight from risk assets.

Danger, Opportunity, Or Both?

Several analysts now say the $80,000–$85,000 range has become critical support. If that zone holds, Bitcoin could stabilize or even rebound over coming weeks. But if that floor cracks, we could be witnessing the beginning of a much deeper drop. For holders who bought near the October peak of $126,000, a return to profitability may still lie far off.

Volatility Is Back With a Vengeance

Crypto fans love volatility when it goes up. It’s less fun when it goes down. This drop underlines how closely Bitcoin remains tied to risk sentiment and macro conditions, and that it is not insulated from economic turbulence.

If macroeconomic uncertainty persists, say, further rate-hike surprises or weak economic data, expect more swings. For veteran crypto traders, that means opportunity. For newcomers, it could be bruising.

[#highlighted-links#]

Could This Be a Buying Opportunity?

For disciplined investors, this might be a discount window. If holders believe in Bitcoin’s long-term fundamentals, accumulating slowly via dollar-cost averaging around support could pay off, provided they can stomach the swings.

For hedge funds and institutional buyers, the collapse might also reignite interest: lower prices, high liquidity, potential for rebound, if macroeconomic winds shift back in their favor.

But Don’t Pretend It’s Risk-Free

This is not a safe haven. Bitcoin is behaving like an ultra-volatile risk asset, correlated with broader markets, sensitive to policy signals, and prone to sudden dumps. Anyone treating this as digital gold or a stable store of value is likely in for a shock.

Vivek Sen
@Vivek4real_
LIKE, IF YOU ARE NOT SELLING #BITCOIN pic.twitter.com/ZFD82Cj4N2
Dec 01, 2025

What’s Next: What to Watch

Whether Bitcoin stabilizes near $85,000–$80,000 or slides toward lower zones.
Fresh signals from central banks (especially the Fed) on interest-rate policy.
ETF flows and institutional demand: whether buyers step in or continue pulling out.
Global market sentiment. If equities recover, crypto could ride shotgun — but if the risk-off mood deepens, more pain may be coming.

Bitcoin’s crash below $86,000 might feel like a gut-punch for bulls. But in volatile crypto land, yesterday’s horrors can become tomorrow’s value plays, if you’re ready for the ride.

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Fed Ends Quantitative Tightening, Is the Old System Crashing? Crypto Takes the Lead

Coinpedia

The U.S. Federal Reserve (Fed) finally ended its Quantitative Tightening policy on December 1, 2025. The Fed froze its balance sheet at $6.57 trillion, meaning it will no longer remove money from the financial system.

Many analysts say the latest Federal Reserve actions reveal deep cracks in the global economy, and have opened big opportunities for Crypto and stablecoins.

Liquidity Drain Exposed Weakness In the Market

Since June 2022, the Fed and other central banks have withdrawn about $2.4 trillion from global markets, the biggest money drain ever. This pushed interest rates higher, but also slowly surged the debt and asset bubbles that have held the system together since 2008.

On top of it, several key economic indicators are flashing red. In the U.S., the Cass Freight Index has fallen for 33 straight months. In October 2025, we saw a 7.8% drop in logistics shipments, the worst performance since 2009.

At the same time, inventories in Shanghai fell to their lowest since 2015, and Japan’s 10-year bond yields hit multi-decade highs.

Even crypto is feeling the shock. Bitcoin has fallen from $126,000 to below $79,000, trading activity is down, and major crypto ETFs are witnessing outflows.

Experts Warn the Old Money System Is in Crisis

According to researcher Rob Cunningham’s analysis, the U.S. financial system is now running on emergency tools originally intended only for rare crises.

Banks have less cash
Companies find it harder to get loans
The government is paying more interest on its debt.
Short-term money lending is getting risky

Even the Reverse Repo balances have dropped to near zero, while the U.S. bond market struggles to stay stable.

Cunningham warns that the Fed has stopped being a “lender of last resort” and has now become the “lender every night.”

Crypto & Stablecoins, Unexpected New Lifeboat

As the old money system weakens, a new one built on Distributed Ledger Technology (DLT) is quietly rising. The GENIUS Act now gives stablecoins clear rules as real digital dollars, while ISO 20022 brings full transparency to global payments.

Meanwhile, the CLARITY Act aims to define which digital assets, like XRP, XLM, ALGO, and HBAR, can operate as real financial infrastructure.

At the same time, tokenised real-world assets and new digital trade systems are enabling countries to move value faster, more cheaply, and without the need for old intermediaries.

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