Why Crypto Prices Are Falling (Short Summary)
According to recent analysis, the dip in Bitcoin (BTC), XRP, and Sui is driven by a global "liquidity crunch" rather than crypto-specific news.
1. The U.S. Treasury "Drain"
The biggest factor is the U.S. Treasury refilling its Treasury General Account (TGA).
The Impact: They have pulled nearly $150 billion out of the financial system in just one month.
The Result: When the government stores cash in its own account, there is less "spare change" in the market for investors to buy risky assets like Bitcoin.
2. Broader Market Weakness
It’s not just crypto. Major tech stocks (the Mag7) are also down 12% to 15% this year. This shows that big investors are pulling money out of all high-growth sectors due to tight cash conditions.
3. Institutional Shifts
The nomination of hawkish figures like Kevin Warsh for the Federal Reserve and ongoing geopolitical tensions (like trade tariffs) have made investors move their money into "safe" assets like Gold instead of Bitcoin.
When Will It Recover?
March 2026: Analysts expect a bounce when $150 billion in tax refunds hit people's bank accounts, injecting new cash back into the market.
TGA Spending: Once the Treasury stops refilling its account and starts spending that money, liquidity will return and prices should stabilize.