BULLISH 📈 : Kevin Warsh Will Trigger Bitcoin Regime Shift, Jeff Park Says

Jeff Park, partner and CIO at ProCap Financial, suggests that Bitcoin's recent 50% drawdown is not due to the typical market cycle but rather a deeper shift in how Bitcoin trades. He believes the potential appointment of Kevin Warsh as Federal Reserve Chair could change Bitcoin's trading dynamics.

Park argues that the traditional link between Bitcoin and global liquidity has been broken, despite rising global liquidity levels projected at $170 trillion by 2025.
He claims investors should avoid relying on historical patterns like altcoin rallies following Bitcoin or the effects of quantitative easing on Bitcoin prices.
Park introduces the "negative rho" versus "positive rho" framework for Bitcoin, suggesting that Bitcoin may rise even as interest rates increase, challenging the concept of a stable "risk-free" rate.
With U.S. policy shifting towards system repair over incremental changes, Park sees potential for Bitcoin's value proposition to evolve beyond simply benefiting from economic stimulus.
Warsh, according to Park, could facilitate a rethink of Fed-Treasury coordination, potentially addressing the Triffin dilemma concerning the dollar's reserve and saver roles.
Park emphasizes that Bitcoin's future strength might come from geopolitical and economic tensions rather than traditional monetary policy moves.

At the time of writing, BTC traded at $66,396.

Bitcoin price chart