BITCOIN'S FUTURE shines with rising US DEBT and the Federal Reserve's decision to keep interest rates high. At this stage of the crypto market, where the 2024 halving is just a few months away and the year is approaching its close, if you are a Bitcoin investor you have reasons to get excited.
The Federal Reserve's decision to keep interest rates elevated and rising US debt have the potential to further drive Bitcoin adoption and growth. How is this possible? Let's see:
First of all, it is particularly good news for BTC that the upcoming Bitcoin halving in 2024 is a key factor for its revaluation. The halving of rewards implies SHORTAGE in its SUPPLY which has historically led to an increase in its price.
Secondly, with the increase in debt the government may choose to print more money (THIS WILL NOT HAPPEN, READ THE END) to finance its obligations, which can lead to more inflation and the devaluation of the dollar. And we already know this is bullish for #BTC
High interest rates cause problems for banks since it is more expensive to borrow money and for bond investors it implies a loss of value of those bonds.
The loss of the incentive to acquire homes and commercial loans due to high rates will encourage people to choose to seek higher risk or safe haven assets, such as BTC and gold.
Finally, even though the increase in debt is not negative in itself, and the government will seek to issue new bonds with lower interest rates to pay off existing debt with higher rates, the situation is that there is a DISTRUST in the FINANCIAL SYSTEM TRADITIONAL (VERY BULLISH FOR BTC) and many investors are already anticipating this fall Kiyosaki the first, as well as many other investors who are calling to withdraw their money from US banks since what is coming is the digital dollar gentlemen, and all the The money that is currently in the banks' coffers will be used to refinance the debt.
These are reading times.
The Federal Reserve's decision to keep interest rates elevated and rising US debt have the potential to further drive Bitcoin adoption and growth. How is this possible? Let's see:
First of all, it is particularly good news for BTC that the upcoming Bitcoin halving in 2024 is a key factor for its revaluation. The halving of rewards implies SHORTAGE in its SUPPLY which has historically led to an increase in its price.
Secondly, with the increase in debt the government may choose to print more money (THIS WILL NOT HAPPEN, READ THE END) to finance its obligations, which can lead to more inflation and the devaluation of the dollar. And we already know this is bullish for #BTC
High interest rates cause problems for banks since it is more expensive to borrow money and for bond investors it implies a loss of value of those bonds.
The loss of the incentive to acquire homes and commercial loans due to high rates will encourage people to choose to seek higher risk or safe haven assets, such as BTC and gold.
Finally, even though the increase in debt is not negative in itself, and the government will seek to issue new bonds with lower interest rates to pay off existing debt with higher rates, the situation is that there is a DISTRUST in the FINANCIAL SYSTEM TRADITIONAL (VERY BULLISH FOR BTC) and many investors are already anticipating this fall Kiyosaki the first, as well as many other investors who are calling to withdraw their money from US banks since what is coming is the digital dollar gentlemen, and all the The money that is currently in the banks' coffers will be used to refinance the debt.
These are reading times.