According to The Kobeissi Letter, US government spending has averaged approximately 9% of GDP over the last five years, surpassing Civil War levels and only slightly below the 2008 financial crisis peak (source: The Kobeissi Letter, June 3, 2025). With current unemployment at 4% and expectations for a soft landing, this elevated fiscal outlay raises sustainability concerns. For crypto traders, prolonged high government spending increases inflation and monetary policy uncertainty, potentially driving investors toward Bitcoin and other digital assets as hedges against fiat currency risk. Monitoring fiscal policy trends can provide key signals for crypto market volatility and price movements.

According to The Kobeissi Letter, global net gold purchases by central banks reached 24 tonnes in February, with a total of 3,176 tonnes acquired over the past three years. This strategic accumulation contrasts with their public calls for a 'soft landing' in the economy, a situation that warrants attention from cryptocurrency traders, as it may indicate a hedging strategy against potential economic downturns.