At 3 a.m., the alarm sounded—Bitcoin suddenly plunged by 8%, breaking through the $65,000 support level, and the chat groups were instantly flooded with "massacre" screenshots. To be honest, I’ve seen this kind of market move many times before. Crashes are never sudden black swan events; they are the inevitable chain reactions after liquidity dries up. Today, I will use two core logics to clarify the story behind this sharp decline.

**First Trigger: The Vampire Effect of US Debt Accounts**

The US Treasury Department’s TGA account balance skyrocketed from $300 billion directly to $1 trillion. What does this mean? The market was instantly drained of $700 billion in liquidity. This is not a mere trickle; it’s a direct breach of the crypto market’s liquidity pool.

What’s even more critical is what comes next. The 20-year Treasury bond auction yield surged to 5.047%, with returns higher than Bitcoin’s expected gains, and principal is guaranteed. Institutions naturally vote with their feet—BlackRock and other big players had a net outflow of $420 million in a single day. The "smart money" always moves faster than retail investors. I checked my position monitoring data: whales dumped 23,000 Bitcoin within 24 hours before this crash—surely they had already sensed the bloodbath at the Treasury auction.

**Second Trigger: The Fed’s "Verbal Kill"**

If the fiscal side is the direct gunfire, then the Federal Reserve’s actions are the hidden arrows. Official Goolsby’s statement at dawn that "there’s basically no chance of a rate cut in December" immediately slashed the probability of a rate cut on CME from 70% to 45%—do you know what this means for leveraged longs? It’s a verdict.

I pulled up real-time derivatives data and saw that: within 30 minutes, Bitcoin’s leverage ratio plummeted by 15%, and $1.224 billion in long positions were liquidated in this round. The tail risk of liquidity was thus ignited.