The Bank of England announced a reduction in its annual gilt-selling target from £100 billion to £70 billion, with an acceptable range of £65-75 billion starting September 2025. The BoE’s gilt holdings peaked at approximately £895 billion and had been trimmed to roughly £738 billion by early 2024. Quantitative tightening is estimated to have pushed gilt yields up by approximately 0.4%. This decision aims to better align with market expectations and economic stability amid growing gilt issuance and rising debt servicing costs. For Bitcoin, which increasingly trades as a macro asset correlated with liquidity cycles, this slower QT pace represents a marginal tailwind.
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