$10 Trillion Erased From Safe Haven Assets, Markets Price In New Fed Regime | US Crypto News
Summary
Global markets are unsettled after over $10 trillion in market value was erased from traditional safe-haven assets, gold and silver, in just three days. Spot gold plunged below $4,500/oz, and silver fell below $72/oz, representing a combined loss larger than the entire cryptocurrency market capitalization. This massive sell-off occurred without a clear geopolitical catalyst, leading analysts to conclude that markets are repricing expectations based on a potential shift toward aggressive Federal Reserve balance sheet contraction, as advocated by incoming Fed Chair Kevin Warsh. The liquidity concerns have also hit crypto, with the market losing over $430 billion in four days, suggesting a broad, liquidity-driven unwind across asset classes. While some investors remain committed to Bitcoin's long-term thesis, others warn that the current price action reflects short-term liquidation pressure, with some analysts drawing parallels to historical market peaks that preceded long periods of stagnation.
(Source:BeInCrypto)