Presto Analyst: There is a possibility of a collapse in the U.S. Treasury market after the election, and Bitcoin will benefit from it

ChainCatcher news, analysts Peter Chung and Min Jung from the trading and financial services company Presto stated during an interview with CNBC on Tuesday that the U.S. election could trigger a bond market collapse. Among risk assets, they are optimistic about Bitcoin, gold, commodities, and Nasdaq stocks.

In their report, Presto analysts noted that over the past 25 years, the ratio of U.S. debt to GDP has risen from 40% to 100%, and it could reach between 124% and 200% in the next 10 to 30 years. The U.S. election may trigger a "Minsky moment," where the bond market realizes the issues and demands higher compensation for deficit financing. The commitments of Republican candidate Donald Trump and Democratic candidate Kamala Harris have intensified the risk of a bond market collapse. Solving the problem through inflation is the only solution. The 2024 Bitcoin bill currently awaiting congressional approval may help stabilize U.S. debt and even stabilize the global financial system.