The post Secret $30 Billion QE Boost: Will Bitcoin Skyrocket as Hidden Liquidity Floods Markets? appeared first on Coinpedia Fintech News
Renowned crypto analyst Michael van de Poppe suggested that Quantitative Easing (QE) is happening quietly, with about $30 billion being added each month through Treasury Buyback Operations. This increase in global liquidity, he hints, could have a significant impact on crypto markets, mainly for Bitcoin.
The Quiet Return of QE
Quantitative Easing (QE) is a monetary policy where central banks buy government securities to increase the money supply and stimulate the economy. Although QE has not been officially announced, according to Michael van de Poppe, it is happening around the corner.
It's not entirely out in the public, but QE is happening.Approximately $30 billion will be added every month through Treasury Buyback Operations.Silently, Global Liquidity is getting increased.#Bitcoin is the answer. pic.twitter.com/KXuco1fW9C
— Michaël van de Poppe (@CryptoMichNL) August 6, 2024
However, he claims that liquidity is being increased through Treasury Buyback Operations, a move that has largely gone unnoticed by the public.
Meanwhile, if the increase in global liquidity is true, it could have significant impacts on global financial markets. More liquidity usually results in lower interest rates and increased investment in riskier assets, such as cryptocurrencies. This could lead to more capital entering markets that have been dealing with volatility and uncertainty.
Bitcoin as the Solution
Van de Poppe points to Bitcoin as the answer in light of this potential monetary shift. As a decentralized digital asset, Bitcoin offers an alternative to traditional fiat currencies that may be affected by such monetary policies.
His suggestion aligns with a broader narrative within the crypto community, which sees Bitcoin as a hedge against inflation and centralized economic maneuvers.
However, at the recent Bitcoin Conference 2024, former U.S. President Donald Trump mentioned his interest in using Bitcoin (BTC) as a “strategic reserve” asset.
Crypto Market Recovering
The crypto market is showing signs of recovery after the recent Black Monday crash across global markets. Pioneer cryptocurrency Bitcoin’s (BTC) price has now reached the $55,105 mark, representing a 10.4% surge from its recent fall in the last 24 hours.
Meanwhile, Bitcoin’s dominance decreased by 0.20% over the past day to 56.82%, suggesting that altcoins are performing better today. Leading altcoins like Ethereum (ETH), Solana (SOL), and XRP have also increased, following the broader market trend.
