Fed's Financial Vulnerability Index at 0.65 — Bitcoin Rally Faces Structural Risk
- —Aggregate FVI at 0.65, financial leverage at 0.83, valuation pressure at 0.77
- —Funding risk at 0.62, household and business borrowing at 0.26
- —BTC touched $86,000 on Sept. 21, over 10% above the prior Sunday close
- —Large hedge funds hold $4T in Treasury exposure and $3T in repo borrowing
Why it matters: A high FVI reading signals that margin calls or tighter dealer capacity could force liquid-asset sales and weaken spot crypto demand.
Source: CryptoSlate