This wave of decline seems to have no warning signs, but if you look closely at the data, you'll find that the problem isn't caused by a single whale dumping, but by two unseen big hands simultaneously changing the global capital flow.

The flash crash in the early morning is indeed traceable. When Bitcoin directly broke through the $65,000 support level, the entire market was speculating about the cause. Traders habitually look for "large short sellers," but the truth is more macroeconomic: the U.S. Treasury Department and the Federal Reserve are working together on one thing—removing liquidity from risk assets.

**First Force: The Treasury Department is疯狂发债**

The U.S. Treasury is issuing short-term government bonds at a record-breaking pace. How large is the scale? Single auctions can reach hundreds of billions of dollars. What are they doing? Supplementing the Treasury General Account (TGA). Simply put: money that might have flowed into stocks, cryptocurrencies, and other risk assets is being forcibly diverted into U.S. Treasury securities, a safe haven.

You may not realize what this means. When short-term government bond supply surges, short-term interest rates rise accordingly. This transmits through the term premium, raising the overall market’s cost of capital. All assets have to pay for higher borrowing costs.

**Second Force: The Federal Reserve’s firm stance on rate cuts**

The market previously hoped that rate cuts would come to rescue the situation. But the Fed’s recent signals are very clear—there will be no significant rate cuts in the near term. It’s like sentencing risk assets to death. The hope for a low-interest environment has been directly dashed.

**Why is Bitcoin the first to be affected?**

Because Bitcoin is extremely sensitive to global liquidity. It’s a typical "high beta" asset—soaring in loose liquidity conditions, plunging when liquidity tightens. Now, liquidity isn’t just marginally tightening; it’s being systematically drained.

This is the real root of fear. It’s not some mysterious force dumping the market, but the two main engines of the global financial system—(fiscal and monetary policy)—operating in opposite directions, making risk assets the first casualties.