Why did the US treasury nearly go bankrupt in 1895?

The U.S. Treasury nearly went bankrupt in 1895 due to a combination of factors, including a significant depletion of gold reserves and mounting federal debts. The economic strain was exacerbated by the Panic of 1893, which led to a severe recession and diminished tax revenues. In response, the government struggled to maintain the gold standard, prompting a crisis of confidence in the nation's ability to meet its financial obligations. To avert bankruptcy, the administration ultimately secured a deal with J.P. Morgan and other bankers to sell government bonds in exchange for gold, stabilizing the situation temporarily.