Federal Reserve’s Liquidity Push: Impacting Crypto Market

Since February 2025, the U.S. Federal Reserve has quietly injected an additional $500 billion into the financial system. This surge is fueled by the ongoing drawdown of the Treasury General Account (TGA), essentially acting as the government’s savings account. With the debt ceiling limiting new borrowing, the government relies on tapping into its TGA to fund expenses, effectively injecting liquidity into the economy much like quantitative easing (QE).