Tiger Securities Upgrades Bitcoin Outlook Amid Rate Hike Worries
Tiger Securities has upgraded its outlook on Bitcoin despite potential headwinds from Federal Reserve rate hikes, according to a report released by the firm. The firm maintains a buy rating on Bitcoin and notes that two or three 25 basis point rate increases could weigh on the asset if they lift real yields and tighten liquidity.
The Congressional Budget Office's February baseline projects fiscal year 2026 net interest spending at 3.3% of GDP, absorbing roughly 19% of federal revenues, before a primary deficit of 2.6% of GDP. Tiger Securities said that even under an optimistic artificial intelligence scenario, debt would continue rising.
The principal near-term risk for Bitcoin is tightening that proves larger or more persistent than markets expect, the firm added. Persistent primary deficits would sustain pressure to contain financing costs, keeping financial repression relevant to Bitcoin's monetary premium.