Bitcoin, Crypto Market Crash Looming In June After Debt Ceiling Saga: Bloomberg
The stock markets closed Friday on a positive note, with Dow Jones 2.1% higher, the S&P 500 added 1.4%, and the Nasdaq gained almost 1%, topping the April 2022 highs. Moreover, the May jobs report came mixed showing hotter-than-expected payrolls, unexpectedly higher unemployment, and a slowdown in annual wage growth. advertisement However, the challenges for the markets are not over, especially for risky assets such as cryptocurrencies. The US Treasury Dept will rebuild its depleted cash balance by issuing an estimated $1 trillion in Treasury bills after the debt ceiling deal. Citigroup strategists predict Bitcoin (BTC) and Ethereum (ETH) near-term outlook remains bleak as cash reserves in the Treasury General Account fell to $22.89 billion on June 1 from $635.99 billion in March. Crypto assets are vulnerable to higher volatility and weaker returns. Over $1 trillion T-bills sales by the end of the third quarter will drain US dollar liquidity from the financi