- Bitcoin tagged a new record high, despite a decrease in the US stock and bond markets
- Experts believe that BTC can become a risk-out, safe Havenactive in the midst of the American tax debt
Bitcoin [BTC] To a record high of $ 111.8k, while traditional markets – American bond and stock sectors – struggled with tax challenges. In fact, on May 21, investors remembered The American 20-year-old Treasury bond, which drags bond prices and a pitting yields to 5.1%.
Source: TradingView (BTC versus US Dollar Index (DXY), Treasury Bond outputs)
The bond market routes crawled on the stock market and refueled the Nasdaq by 1.4%, while the S&P 500 index fell by 1.6%. The US Dollar Index (DXY) also fell to a low 2 weeks of 99.5.
On the contrary, BTC stopped a new High, a Tushar Jain Movement from Crypto VC Multicoin Capital was seen as a ‘risk-off’ assets. He said”
“We look at BTC transforming a risk-active into a risk-off asset. Today we have seen further evidence that the government cannot lower the budget deficit. The market reacted by selling American treasury, selling USD, selling shares and buying BTC.”
Will our debt fuel BTC BTC?
The increasing return meant that the US government would pay higher interest rates to borrow money for two decades – an update division linked to concerns about tax expenditures and debts.
At the time of writing, the American debt was $ 36.22 trillion. However, President Donald Trump’s “big” tax assessment would lead to an extra $ 3 trillion – $ 5 trillion of expenditure.
This has expressed concern about inflation and debt disability, as can be seen by the weak question of 20-year-old treasury bonds.
Moody lowered the creditworthiness of the country last week, which strengthens BTC’s position as an alternative safe haven alongside gold.
Source: Newhedge
Bitcoin also disconnected from gold in Q1 2025 and followed American shares, which means that it was a “risk-on” active. In the second quarter, however, it was correlated with gold again, and both were higher despite Trump’s tariff wars.
Now, with our tax misery, Peter Schiff has deteriorated insisted His audience to grab more gold. Hence the question, but a safe haven has better opportunities on outperformance in the short to medium term?
According to the BTC/Gold ratio, an indicator that follows the price of Bitcoin compared to gold has the crypto activum Higher opportunities of the surpassing of gold.
Source: BTC/Gold Ratio, TradingView
Since April, BTC has overshadowed gold with 33% after the indicator was bounced from the range of the canal.
If it extends to the range high at 43, BTC would give extra 26% profit against gold.