Snow forecast: Arthur Hayes blames crypto plunge on 'contraction in dollar liquidity', says Bitcoin is the free-market weathervane of global fiat liquidity and trades on the expectation of future fiat supply. Sometimes reality matches expectations, and other times it does not.

Hayes, "Just like my confidence in the Hokkaido snow machine, I am 100% confident that Trump and Bessent want their Team Red Republicans to maintain power and thus will find a way to both look tough on fighting inflation and print the money necessary to continue the Keynesian fractional reserve banking con game that is the US and global economic situation. On the mountain, being early sometimes earns you dirt skiing. In the financial markets, before we get back to Up Only, the markets must, in Nelly-speak, drop down and get their eagle on."

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