I was analyzing the $BTC chart and found something very odd and intriguing. Take a look at the 1⁰ image so we can discuss some thoughts and ideas.
First of all, it was really impressive how BTC stayed strong in the 90k-107k range, even though we experienced a huge sell-off where many altcoins dropped by 30% or 40%.
At first, I thought this was normal and just followed the chart analysis, but it sparked an idea and made me realize that Michael Saylor might be brilliant.
I have said in previous posts that institutions were buying crypto non-stop, and it seems reasonable that a few cryptocurrencies could join BTC as institutions adopt them as strong assets.
Take a look at the 2⁰ image. Cash is running low in the Federal Reserve's Repo Facility, and one of the consequences could be that liquidity is/will be sucked into risk markets, benefiting crypto. Another consequence could be printing more money, making fiat less valuable.
But there's another catch. It is very likely that institutions will use $BTC and these currencies as collateral to buy fiat and then buy even more cryptocurrencies, making it a perfect money machine which again devalues fiat.
So we can consider how real estate will come into play. In the near future, it could become common for major players to sell portions of their real estate (safe assets) to add more BTC to their wallets, for example, potentially making housing prices cheaper compared to digital assets.
Just to illustrate, if I sell a house for $100k, I can buy 1 BTC, which over time will likely be far more valuable than the house, making it more profitable than renting just by lending $BTC with interest.
At some point, people might think their BTC is at a high price and be compelled to sell, thinking it will go down, giving them an opportunity to buy cheaper. I would say this will become less common because institutions do not want to sell BTC; they want to buy yours, and when you realize this the price will likely be higher than when you sold.
Thx for reading and Make sure to comment your thoughts! 🫡
#BTC
First of all, it was really impressive how BTC stayed strong in the 90k-107k range, even though we experienced a huge sell-off where many altcoins dropped by 30% or 40%.
At first, I thought this was normal and just followed the chart analysis, but it sparked an idea and made me realize that Michael Saylor might be brilliant.
I have said in previous posts that institutions were buying crypto non-stop, and it seems reasonable that a few cryptocurrencies could join BTC as institutions adopt them as strong assets.
Take a look at the 2⁰ image. Cash is running low in the Federal Reserve's Repo Facility, and one of the consequences could be that liquidity is/will be sucked into risk markets, benefiting crypto. Another consequence could be printing more money, making fiat less valuable.
But there's another catch. It is very likely that institutions will use $BTC and these currencies as collateral to buy fiat and then buy even more cryptocurrencies, making it a perfect money machine which again devalues fiat.
So we can consider how real estate will come into play. In the near future, it could become common for major players to sell portions of their real estate (safe assets) to add more BTC to their wallets, for example, potentially making housing prices cheaper compared to digital assets.
Just to illustrate, if I sell a house for $100k, I can buy 1 BTC, which over time will likely be far more valuable than the house, making it more profitable than renting just by lending $BTC with interest.
At some point, people might think their BTC is at a high price and be compelled to sell, thinking it will go down, giving them an opportunity to buy cheaper. I would say this will become less common because institutions do not want to sell BTC; they want to buy yours, and when you realize this the price will likely be higher than when you sold.
Thx for reading and Make sure to comment your thoughts! 🫡
#BTC
