Bitcoin Expected To Catch “Exit Fiat Bid” If US Defaults On Debt
The US government has until 1st June to reach an agreement on raising the debt ceiling. The faliure of the US government to reach an agreement will trigger a catastrophic wave in the US and global economy.
However, the US defaulting on its debt could mean a pump in bitcoin’s price. If the US government fails to raise the debt ceiling, the stock markets are expected to crash leaving investors stranded.
Bitcoin expected to catch exit-fiat bid
Messari founder Dan McArdle tweeted that he had thought US default would result in temporary BTC crash, ensuing chaos & liquidity crunch, but now, especially after BTC’s response to the bank failures, it could catch the exit-fiat bid it deserves. Traditional finance investors might look at Bitcoin as a safe heaven. At the start of the year, when banks were collapsing one after another, bitcoin stood strong as it did not lose by much. This could give investors confidence in moving their funds to bitcoin.
Bitcoin to jump by 70% on US debt default: Standard Chartered analyst
Earlier, Geoff Kendrick, Standard Chartered’s head of digital assets research told Insider that a U.S. default—which he called a “low-probability, high-impact event”—could cause Bitcoin to jump by about $20,000, an increase of nearly 70% from current levels. Kendrick also said in a note Bitcoin could reach $100,000 by the end of 2024 and the “crypto winter” was over.
Bloomberg’s latest Markets Live Pulse survey named Gold, U.S. Treasurys and Bitcoin as the top three assets should the U.S. fail to raise its debt ceiling and default on its debt.
- BitMine’s Tom Lee Calls Dip Golden Opportunity as Trump Sets Meeting With China on U.S. Tariffs
- Pi Network Set for Massive Growth as App Studio Upgrade Expands Pi Coin Utility
- US Shutdown Beyond 40 Days To Delay Crypto ETF Approval, But Demand Spikes
- OpenSea Set to Reward Investors With Massive SEA Token Airdrop Ahead of Q1 2026 Launch
- Cardano’s Charles Hoskinson Addresses Allegations of Diverting Treasury Funds
- Shiba Inu Price Eyes Recovery as Burn Rate Jumps 10,785% – Can SHIB Hit $0.000016?
- Ethereum (ETH) Price Prediction: Analyst Eyes $7,000 by Q4 as Bitmine Accumulates $281M ETH — Will History Repeat Itself?
- HYPE Price Teeters Amid Weak Technicals and Soaring Liquidations
- XRP Price Prediction As Ripple Announces $1B Treasury Plans – Is a Rebound Imminent?
- Bitcoin Price Prediction Amid Gold’s Parabolic Rally to Second-Largest Reserve Asset
- 3 Altcoins Defying the Market Momentum In October 2025
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
