Warren: Crypto Billionaire Bailout Must Be Blocked

Elizabeth Warren’s Harsh Bailout Warning to Treasury and Fed

Senate Banking Committee senior member Elizabeth Warren sent a letter to Treasury Secretary Scott Bessent and Federal Reserve Chairman Jerome Powell, warning them not to bail out “crypto billionaires” with taxpayer money. Warren stated that such a bailout would be a wealth transfer from American taxpayers to crypto billionaires and could directly enrich President Trump and his family’s World Liberty Financial company (CNBC).

Bitcoin Price Crash and WLFI Forum Timing

The letter came during a period when Bitcoin (BTC) prices had fallen 50% from their October peak to $60,000 on February 6. On the same day, World Liberty Financial held its first “World Liberty Forum” at Mar-a-Lago in Florida. Warren argued that Bessent had given an evasive response to the bailout question during the February 4 Financial Stability Oversight Council report session.

Bessent’s Statement on Holding Bitcoin and Bank Diversification

Bessent confirmed that the US government is holding seized Bitcoins, stating it is not taxpayer money, and expressed that banks could hold various assets as part of asset diversification. This statement reignited discussions on government intervention during market stress.

Current BTC Technical Analysis and Market Stress

Currently, BTC price is at 66,974.71 USD level, down -0.87% in the last 24 hours. RSI 34.01 (oversold), overall trend bearish and Supertrend giving bear signal. EMA 20: 71.646,15. Strong supports: S1 65.143 USD (78% score, -2.56% distance), S2 62.910 USD (61% score). Resistances: R1 70.639 USD (69% score), R2 67.096 USD. Click for BTC detailed analysis.

Market stress is increasing: Bitcoin miner Hive reported a net loss of $91 million due to depreciation. Metaplanet suffered a $619 million loss due to BTC value decline, with assets reaching 35,102 BTC. BTC futures reflect the volatility.