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Bitcoin's Liquidity Winter Is Not Over Yet
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TFTC – Truth for the Commoner
Bitcoin can be the right answer to monetary debasement and still trade like a high-beta liquidity asset while the credit cycle moves against it.
Bitcoin's Liquidity Winter Is Not Over Yet Bitcoin is not trading in a vacuum.
It tries to capture worldwide central-bank liquidity, private credit, collateral conditions, and the cross-border balance-sheet capacity that lets investors add risk.
His longer-run estimate puts bitcoin's average liquidity beta at 9.5 times.
A liquidity contraction can punish bitcoin today while setting up the political response that strengthens bitcoin's monetary case tomorrow.