List of Flash News about Moody's forecast
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2025-05-17 12:45 |
Moody's Warns US Debt-to-GDP to Hit 134% by 2035: Implications for Crypto Market and Risk Assets
According to Moody's, the US federal debt burden is projected to rise sharply to 134% of GDP by 2035, up from 98% in 2024, a level surpassing even the peak after World War II when it never exceeded 120%. Moody's further highlights that interest payments could consume approximately 30% of US government revenue if debt levels reach this high, compared to the current 18% (source: Moody's, 2024). This mounting fiscal pressure signals increasing macroeconomic risk and could drive institutional investors toward alternative assets like Bitcoin, Ethereum, and other cryptocurrencies, as investors seek hedges against sovereign debt risk and potential USD debasement. Traders should monitor US debt trends closely, as sustained fiscal deterioration may catalyze upward volatility in major crypto assets. |