Strike founder Jack Mallers: Bitcoin is reflecting the global liquidity crisis
Odaily News: Jack Mallers, founder of Strike and CEO of Twenty One Capital, stated that Bitcoin's drop below $63,000 is not simply an issue of sentiment, but rather a reflection of the reality of insufficient liquidity in the global financial system.
Mallers believes that while current U.S. consumer confidence is at historic lows, the S&P 500 is at an all-time high, indicating that signals from traditional stock markets have been distorted by policy intervention. In contrast, Bitcoin, as a 24/7 traded asset, provides a more accurate reflection of global liquidity and market stress.
He emphasized that during periods of liquidity tightness, investors often "sell the assets they can, not the assets they want to sell." Therefore, a decline in Bitcoin may not represent a collapse in long-term conviction, but rather forced selling under liquidity pressure.
Additionally, Mallers questioned Strategy's perpetual preferred stock financing structure, suggesting it could trap the company in a capital structure dilemma where it must make trade-offs between different stakeholders when future liquidity is needed.
