US Treasury's Bond Buybacks Spark Record Crypto Liquidations

Crypto liquidations have reached their highest level since October 10, with positions worth nearly $3 billion being liquidated. The U.S. Treasury is directly manipulating the crypto market through bond buybacks, artificially pumping prices and wiping out shorts to the tune of $2.73 billion. This has led some to question whether Bitcoin is a true decentralized hedge or merely a puppet of federal liquidity.

According to Anand Sinha, the use of bond buybacks to prop up crypto prices is a clear example of government control over the market. He notes that a single political tariff threat can trigger massive liquidations, such as the $19 billion bloodbath seen in October 2023.