🇩🇪 $1.1 TRILLION DEUTSCHE BANK SAYS CENTRAL BANKS WILL ADD BITCOIN TO THEIR RESERVES BY 2030. https://t.co/GZCMgkwCqB ...

RT Bitcoin Magazine (@BitcoinMagazine)JUST IN: 🇩🇪 $1 trillion Deutsche Bank says central banks may buy #Bitcoin for their balance sheets by 2030 👀Bullish! 🚀 https://t.co/PlQsVt20qz ...

JUST IN: 🇩🇪 $1.05 trillion Deutsche Bank says central banks may buy and hold Bitcoin on their balance sheets by 2030. https://t.co/IPHWPVlz70 ...

JUST IN: 🇩🇪 $1 trillion Deutsche Bank says central banks may buy #Bitcoin for their balance sheets by 2030 👀Bullish! 🚀 https://t.co/PlQsVt20qz ...

us crypto news. Photo by BeInCrypto Welcome to the US Crypto News Morning Briefing—your essential rundown of the most important developments in crypto for the day ahead. Grab a coffee to digest Deutsche Bank’s warning on equities. This warning, paired with a cautious stance on global growth, provokes the thought of where capital will flow next and what it could mean for Bitcoin (BTC). Bitcoin News of the Day: Deutsche Bank Predicts Bitcoin on Central Bank Balance Sheets by 2030 Bitcoin is edging closer ...

Core Insights - Bitcoin is expected to become a recognized reserve asset alongside gold within the next decade, although gold will maintain its lead in official holdings for the time being [1][3] - The U.S. dollar constitutes 57% of global reserves, but there are emerging signs of diversification, particularly with a notable decrease in China's U.S. Treasury holdings by $57 billion in 2024 [1][3] Group 1: Bitcoin and Gold Dynamics - Bitcoin and gold are seen as complementary hedges against inflation and geopolitical risks due to their scarcity and low correlation with other assets [2][4] - Gold reached a record high of $3,763, increasing over 40% year-to-date, indicating strong demand for precious metals [2] Group 2: Bitcoin's Volatility and Adoption - Bitcoin's volatility, which has historically hindered its status as a reserve asset, is decreasing, with its 30-day volatility hitting historic lows in August while prices exceeded $123,500 [3][4] - The adoption trajectory of Bitcoin is expected to mirror that of gold, transitioning from skepticism to widespread acceptance, facilitated by regulation and macroeconomic trends [4]

Group 1 - The price of gold reached a record high of $3,757.60 per ounce, indicating investor fear and a search for safe havens, while the S&P 500 also hit a new all-time high at 6,664.36, reflecting optimism in the stock market [1][2] - Deutsche Bank's analysis suggests that investors are simultaneously bullish on equities and fearful of significant downside risks, highlighting a complex market sentiment [3] - Historical context shows that high gold prices often correlate with economic uncertainty, as seen in September when gold prices surpassed their inflation-adjusted peak from January 1980, a period marked by recession fears [4] Group 2 - Current investor fears include persistent U.S. inflation above target, potential government shutdowns, and concerns over a slowdown in payrolls, which have led to expectations of rapid interest rate cuts [5] - There is speculation about AI stocks being in a bubble, reminiscent of the dot-com boom, which previously caused a decline in gold prices due to over-optimism in tech stocks [6]

Core Viewpoint - A significant strategy known as "hedging against the US" is emerging in global capital markets, characterized by a massive influx of international funds into the US while simultaneously a potential trillion-dollar wave of shorting the dollar is brewing [1][2]. Group 1: Market Dynamics - Major Wall Street banks, including State Street, Deutsche Bank, and BNP Paribas, predict that the ongoing hedging activities will significantly pressure the dollar's performance in the coming year [2][8]. - Deutsche Bank noted that since mid-year, inflows into "dollar-hedged" US asset ETFs have surpassed those into "non-dollar-hedged" funds for the first time in a decade, indicating an unprecedented speed of this shift [2][8]. Group 2: Scale of Hedging - The potential scale of this hedging wave is estimated at approximately $1 trillion, which would restore the hedging ratio of global investors holding over $30 trillion in US stocks and bonds to the average level of the past decade [5][6]. Group 3: Investor Behavior - Foreign investors currently hold about $20 trillion in US stocks and approximately $14 trillion in US bonds, with a noted decrease in their hedging ratios for fixed income and equities by about five and two percentage points, respectively, in recent years [11]. - A survey by Bank of America revealed that 38% of global fund managers are seeking to increase currency hedging to counter a weakening dollar, marking the highest level since June [13]. Group 4: Operational Strategies - One common hedging method employed by overseas investors is selling dollar forward contracts to lock in exchange rates, which typically translates into selling pressure on the dollar in the spot market [9]. - The current hedging ratio for foreign investors has stabilized around 56%, down from approximately 70% mid-year, indicating a strategic shift rather than a mass liquidation of US assets [11].

Group 1 - A significant strategy in global capital markets is emerging, termed "hedging the dollar," with international funds flowing into the US while a potential $1 trillion shorting wave against the dollar is developing [1][4] - Major banks like State Street, Deutsche Bank, and BNP Paribas predict that this hedging trend will significantly pressure the dollar's performance in the coming year [1][4] - Deutsche Bank noted that since mid-2023, inflows into "dollar-hedged" US asset ETFs have surpassed "non-dollar-hedged" funds for the first time in a decade, indicating an unprecedented speed of this shift [1] Group 2 - The estimated scale of the hedging wave is around $1 trillion, which would restore the hedging ratio of global investors holding over $30 trillion in US stocks and bonds to the average level of the past decade [4] - The dollar's strength has been challenged, particularly after the Trump administration's tariff policies in April, which led to a sell-off in US stocks and bonds, contributing to the dollar's decline [6] - Analysts suggest that if the market speculates that the Federal Reserve is pressured by the White House to lower rates, the logical approach would be to favor US stocks and bonds while disfavoring the dollar [7] Group 3 - The most common hedging method among overseas investors is selling dollar forward contracts to lock in exchange rates, which translates into selling pressure on the dollar in the spot market [5] - As of April, the hedging ratio for foreign investors holding US assets stabilized around 56%, down from approximately 70% in mid-2023, indicating a significant shift in hedging behavior [8] - A recent survey by Bank of America revealed that 38% of global fund managers are seeking to increase currency hedging to address dollar weakness, marking the highest level since June [8]

Core Viewpoint - Gold prices continue to rise, supported by expectations of U.S. interest rate cuts, safe-haven demand, and central bank purchases, with a cumulative increase of nearly 10% this month [1] Group 1 - Despite investors perceiving the Federal Reserve's future policy statements as less dovish than expected, gold prices are still on an upward trend [1] - Barbara Lambrecht from Commerzbank suggests that the current momentum in gold prices may have paused, but Asian buyers are gradually adapting to the high price levels [1] - The expectation is that the Federal Reserve will cut rates more than the market anticipates next year, indicating a long-term bullish outlook for gold prices [1]