Michael Burry: Silver Liquidations Outpaced Bitcoin

Silver Liquidations are Increasing

Michael Burry noted that during last week's sharp sell-offs, silver-based liquidations surpassed Bitcoin (BTC) on at least one crypto exchange. This situation highlighted how tokenized metals can create stress in the markets.

Warning of the "Collateral Death Spiral"

Burry described this event as a "collateral death spiral." Due to falling crypto prices and high leverage, forced liquidations were seen on both digital assets and tokenized metals.

Crypto Markets Trade 24/7

The tension experienced indicates that crypto platforms have now become macro trading venues operating 24/7. Changes in traditional markets and margin requirements can quickly be reflected in tokenized commodities.