According to @MilkRoadDaily, a recent strong auction of 10-year U.S. Treasury notes has temporarily weakened the narrative that investors are abandoning U.S. debt for safe-haven assets like Bitcoin (BTC) and gold. The auction for $39 billion in notes saw demand outstrip supply by over 2.5 times, with a historically low 9% takedown by primary dealers, indicating robust investor buying, as cited in the report. This occurs despite the U.S. national debt surpassing $36 trillion, or over 120% of GDP, a situation some analysts believe supports BTC as a long-term hedge against fiscal crisis. Traders are now watching an upcoming $22 billion 30-year bond sale for further signals on investor confidence, which could impact Bitcoin's appeal as a premier alternative store of value.

According to @KobeissiLetter, strong investor demand at a recent 10-year U.S. Treasury auction is undermining the narrative that capital is fleeing government debt for safe havens like Bitcoin (BTC) and gold. Demand for the notes outstripped supply by over 2.5 times, as reported by Exante Data, despite a worsening U.S. debt situation with the national debt exceeding $36 trillion. Meanwhile, the cryptocurrency market has shown little reaction to renewed U.S. tariff threats. Coinbase analysts noted that markets have largely disregarded these potential economic risks, believing the tariffs are unlikely to be as inflationary as previously expected. While Bitcoin (BTC) saw a minor dip of around 0.7%, crypto-related stocks experienced more volatility, with Coinbase (COIN) falling 6% and Circle (CRCL) dropping 16%.

According to @balajis, a recent high-demand auction for 10-year U.S. Treasury notes has temporarily challenged the narrative that investors are abandoning government debt for safe havens like Bitcoin (BTC). Demand for the notes outstripped supply by over 2.5 times, as reported by Exante Data, suggesting continued confidence in U.S. debt despite the national debt exceeding $36 trillion. In parallel, the real-world asset (RWA) tokenization sector is experiencing explosive growth, expanding 380% in three years to a $24 billion market, according to a joint report from RedStone, Gauntlet, and RWA.xyz. This trend, exemplified by BlackRock's $2.9 billion BUIDL fund, is projected by firms like BCG to reach $16 trillion by 2030, signaling a major capital migration from traditional finance to blockchain infrastructure. Despite these bullish long-term developments for blockchain adoption, the immediate cryptocurrency market shows bearish pressure, with provided data indicating 24-hour price drops for major assets like Bitcoin (BTCUSDT -1.90%), Ethereum (ETHUSDT -4.22%), and Solana (SOLUSDT -7.61%).

According to André Dragosch (@Andre_Dragosch), the conversation around Bitcoin often centers on technological adoption, but there is less discussion on the reverse trend—divestment from traditional assets like the US dollar and US Treasury bonds. Dragosch raises the critical trading question of what happens to established financial instruments if Bitcoin begins to represent a new global monetary order. For traders, this perspective highlights the potential for increased capital flows from traditional safe-haven assets into Bitcoin and other cryptocurrencies, signaling possible shifts in global liquidity and market volatility. Monitoring institutional divestment patterns could provide early trading signals for major moves in Bitcoin price and broader crypto market trends (source: @Andre_Dragosch, Twitter, May 25, 2025).

According to André Dragosch, PhD (@Andre_Dragosch), the ongoing crisis in the bond market may be partially attributed to Bitcoin’s rise as a credible alternative store-of-value, with its current market cap exceeding $2 trillion. Dragosch suggests that Bitcoin has drawn more capital away from US Treasury bonds than from gold, impacting traditional safe-haven assets and influencing global asset allocation strategies (source: Twitter, May 23, 2025). This shift highlights Bitcoin’s increasing relevance in institutional portfolios and its potential to further disrupt fixed-income markets, an important dynamic for crypto traders to monitor when assessing macroeconomic trends.

According to André Dragosch, PhD (@Andre_Dragosch), US Treasury bonds are already broken, signaling a critical shift in traditional safe-haven assets (source: Twitter, May 15, 2025). This breakdown could drive institutional and retail investors to seek alternatives like Bitcoin and Ethereum, as persistent bond market instability undermines confidence in government securities. For crypto traders, ongoing bond market volatility may increase demand for digital assets, potentially amplifying price action and liquidity in the crypto markets.

According to The Kobeissi Letter, gold has emerged as the only global safe haven asset as US Treasury Bonds lose their appeal due to rising interest expenses on US debt, which reached a record $1.2 trillion over the past 12 months and is projected to exceed $1.3 trillion by 2025. This development has shifted investor sentiment away from US Treasury Bonds, impacting trading strategies and preferences in the safe haven asset market.

According to The Kobeissi Letter, high-yield credit spreads have been widening from historically low levels, indicating increased risk perception in the credit markets. Concurrently, both gold and US Treasury bonds have seen a rally over the past two weeks, which is unusual as these assets typically move inversely with interest rates. This trend suggests a shift in market sentiment, possibly due to rising interest rates heading into 2025. Traders should monitor these developments closely as they can impact investment strategies in both credit and bond markets.