Deep Tide TechFlow message: On July 24, according to BIT’s weekly report 《On Target》, the total outstanding public debt of the US federal government has already neared $40 trillion (currently about $39.7 trillion), and US Treasury yields have continued to rise to around 5%. The report noted that Japan, facing domestic inflation pressure and rapid yen depreciation, may gradually reduce its holdings of US Treasuries; meanwhile, China is also advancing the diversification of its foreign exchange reserves, continuously lowering its allocation to US Treasuries and increasing gold reserves. Coupled with factors such as the upcoming US midterm elections in November and worsening US-China relations, market confidence in US Treasuries has remained under pressure. Bitcoin is currently quoted at about $66,505, showing a high positive correlation with the trajectory of the US government’s debt scale. The market is watching whether funds are accelerating their shift toward non-sovereign assets such as gold and Bitcoin.