Bitcoin price reflects global liquidity crisis, not crypto weakness, says Strike CEO Jack Mallers

Jack Mallers, CEO of Strike and Twenty One Capital, argues that Bitcoin's recent price drops are due to a global liquidity crisis in traditional finance, not problems specific to crypto. He describes Bitcoin as a "smoke alarm" signaling stress in fiat money systems, where central bank tightening drains liquidity and forces liquidation of the most liquid assets first—Bitcoin being a prime example. Mallers highlights that about 50% of Bitcoin holders are underwater, marking a potential buying opportunity. He advises investors to monitor global liquidity indicators like central bank balance sheets and bond yields, suggesting these macro factors influence Bitcoin more than typical crypto metrics or halving cycles.