According to the latest shocking reports, it seems that the US government could be soon freezing the American bank withdrawals. Check out more details about this below.
US government could make a terrible move for people
It’s been just revealed the fact that the hedge fund manager and macro economic expert Hugh Hendry just issued a major warning on the US banking system and the American economy as a whole.
In a new interview on Bloomberg Markets, Hendry stated the fact that the mass panic and capital flight away from the US banking sector is entirely justified.
Hendry says a further decline in the M2 money supply, which in part tracks money in liquid checking accounts, could convince the US government to step in and prevent citizens from taking their capital out of the banking system.
“Sometimes it’s kind of relevant to panic. I would recommend you panic… You’ve seen the biggest waterfall decline in M2 right now. M2 is deposits, not loans. That’s the deposits fleeing the system and going into money market funds.”
He continued and stated the following:
“That could reach a crescendo where the Treasury and the Fed may have to come in and actually restrict you right as a US citizen to pull money out of the US banking sector.”
Bitcoin has entered consolidation after a strong rebound
“The crypto market performed strongly in Q1 2023, with the total market cap growing by 49% to $1.19 trillion. Bitcoin (BTC) rose 72% and closed at $28,440, while Ethereum (ETH) rose 53% and closed at $1,827,” the same online publication mentioned above revealed.
This upward trend was driven by multiple factors, including tightened monetary policies and the bank crisis.
On the other hand, there are a few indicators – such as increased outflows from stablecoins and capital outflows from exchanges – that show that this trend may not be sustainable.
