Treasury holds $1 trillion as Bitcoin faces a key liquidity test this week

Treasury’s financing decisions this week will test whether a possible year-end cash drawdown can ease Bitcoin’s funding backdrop. The government held about $1,016 billion at the Federal Reserve on Oct. 28, inside the range it had anticipated for late October. The potential relief depends on the cash assumptions Treasury updates in its Nov. 2 borrowing estimates and the issuance and buyback plans due Nov. 4. A drawdown can return reserves to banks, all else equal, while financing the government continues to place demands on cash and intermediaries. Bitcoin’s price was about $77,865 in CryptoSlate’s market data at 10:41 UTC on Nov. 2, below $80,000. At the Nov. 2 morning check, Treasury’s release calendar still displayed August estimates and listed both November announcements as forthcoming. The Fed’s Oct.

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