"Liquidity increase" does not mean that "risk assets will necessarily surge this week."
Some things need to be clarified:
- US debt purchases and repo operations mainly change the operation mechanism of short-term financing, not directly pouring money into cryptocurrencies. These two are not the same thing.
- Fiscal cash flow can indeed inject money into the financial system, but this does not mean risk appetite is rising. Sometimes, safe-haven funds are just looking for a place to park. Money is coming in, but the direction doesn't necessarily point to risk assets.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
"Liquidity increase" does not mean that "risk assets will necessarily surge this week."
Some things need to be clarified:
- US debt purchases and repo operations mainly change the operation mechanism of short-term financing, not directly pouring money into cryptocurrencies. These two are not the same thing.
- Fiscal cash flow can indeed inject money into the financial system, but this does not mean risk appetite is rising. Sometimes, safe-haven funds are just looking for a place to park. Money is coming in, but the direction doesn't necessarily point to risk assets.