Analysis: If the U.S. bond market chaos forces the Federal Reserve to intervene, it may prompt investors to turn to bitcoin
JPMorgan CEO Jamie Dimon is bracing for chaos in the nearly $30 trillion Treasury market, which plays a central role in global finance setting the tone for everything from mortgage rates to corporate bond yields, while the Federal Reserve will only act if they start to panic a little bit. Jamie Dimon warned that if the financial system were to go down again, the consequences could ripple across the economy.
The turmoil in the U.S. Treasury market has led to Federal Reserve intervention, which could prompt some investors to turn to Bitcoin (BTC), which is often seen as a hedge against currency instability. This appears to be the case in 2020, when the Federal Reserve adopted aggressive stimulus measures and the price of Bitcoin soared.