Wall Street Banks Warn Fed May Resume Asset Purchases as Money Market Stress Builds; Bitcoin Seen Cheap vs Gold

Multiple Wall Street banks warned on Nov. 7 that tensions in U.S. money markets may escalate, potentially prompting Federal Reserve intervention, BlockBeats reports. The spread between repo rates and reserve rates remains elevated despite short-term funding rate stabilization, reflecting deteriorating marginal liquidity. A JPMorgan report indicated Bitcoin has significantly corrected excessive leverage positions following recent deleveraging, appearing "abnormally cheap" relative to gold on a volatility-adjusted basis, with strategist Panigirtzoglou noting perpetual contract open interest ratios have returned to early-year averages. Bitunix analysts highlighted short-term support at $100,500 and resistance between $103,500–$104,500.