10x Research: The borrowing capacity of American consumers has reached its limit, which may pose a challenge to the cryptocurrency market

ChainCatcher news, 10x Research founder Markus Thielen stated that although the unwinding of yen arbitrage trades may have paused, stabilizing risk assets including Bitcoin, the slowdown in U.S. consumer lending remains a concern.

In June, the total credit balance in the U.S. increased by $8.9 billion, below the expected $10 billion, while credit card debt decreased by $1.7 billion, marking the largest decline since early 2021. The credit card delinquency rate reached 10.93%, the highest since 2012, and the auto loan delinquency rate also hit 4.43%, the highest since 2021.

Thielen pointed out that these factors indicate that U.S. consumers' borrowing capacity has reached its limit, which could pose challenges for the cryptocurrency market. Additionally, the uncertainty surrounding the U.S. elections, economic slowdown, and the cooling of the artificial intelligence boom are also potential risks.