A major shift is quietly reshaping global Treasury markets. Holdings of US government bonds by Asia's largest economy have continued their steady decline—November saw another $6.1 billion reduction, bringing total holdings down to $682.6 billion.

That's the lowest point in over 16 years, tracing back to September 2008 when the financial crisis was ravaging markets. The scale of this rebalancing matters. Whether it signals portfolio optimization or reflects broader economic concerns, traders are watching closely.

For crypto investors, macroeconomic moves like these often precede volatility in traditional markets—and ripple effects eventually reach digital assets. When major players adjust reserves, liquidity flows shift. Capital that once stayed locked in government bonds can migrate elsewhere, including toward alternative investments.