Is the Fed Ending QT and Setting Up a Year-End Liquidity Shift?

Despite Bitcoin's recent price run-up, our Liquidity Heatmap still indicates a negative liquidity environment.

There’s reason to believe the Fed could soon end its QT program, as the Reverse Repo Program nears zero.

This shift could bring positive news for both iquidity and risk assets as a whole.

According to the recent Treasury Quarterly Refunding Statement, the Treasury is planning for a year-end cash balance of $700 billion in December.

With the debt ceiling deadline approaching in January, historical trends suggest we may see a significant drawdown of the Treasury General Account.

There’s much to anticipate liquidity-wise for the remainder of the year, but based on current data, we remain bullish.