Negative yields on government bonds, Asset-buying programs of Central banks and the politicization of Central banks. Why the macro-economic market environment Bitcoin to new heights send.David-separator
10. July 2019BTC$12.820,00 3.68%part Facebook Twitter LinkedIn xing mail
"If you would lock me up in a room, I could not imagine a better Macro-environment than what we have now".
Brendan Bernstein, his character Bitcoiners and Co-Founder of the crypto-hedge Fund, Tetra Capital, sets on the Bitcoin 2019 Conference conclusively, why the macro-economic situation is the ideal breeding ground for Bitcoins spread. We have summarized the most important statements.
First of all, Bitcoins growth was not given by God, as some claimed. A lot more gains to be simple discharge from exogenous factors such as geopolitical conditions and the General development of the monetary system. Depending on the situation, both for an increasingly positive growth of the Cryptocurrency no. 1. Why?Central banks, the powder goes from
Quantitative Easing (QE), Modern Monetary Theory, a low interest rate environment. You can't get rid of print the sense, that a out the terms of what Central banks around the world: money. For over ten years, it is a global practice by the Central banks to increase the money supply gradually. The calculus of it: consumption and investment to remain at a high level. Otherwise, recession and the threat of unemployment.
In General, expansionary monetary policy then leads to Inflation. But the remains currently. The ECB is about to-be-missed for years its mandate of Inflation at "close to but just below two percent". But for a long time, you will not have to wait as Economist Hans-Werner Sinn on the Unchain conference explained.
As this was not enough, signs of global a dangerous Trend of political interference in the actually-neutral Central Bank policy: Trump rails against ECB chief Draghi and accuses him of a deliberate devaluation of the Euro against the US Dollar.
China and Europe, playing big currency manipulation game and pumping money into their system in order to compete with USA. We should MATCH, or continue being the dummies who sit back and politely watch as other countries continue to play their games – as they have for many years!
— Donald J. Trump (@realDonaldTrump) July 3, 2019
His answer: The FED should not sit idly by. Or to put it differently: the US Central Bank should lower his opinion of continued interest. The dismissal of the Turkish Central Bank's President, Murat Cetinkaya is an alarming Signal of political influence on monetary policy.What does that have to do with Bitcoin
What in the world currently, more than ever, a safe haven is missing. The uncertainties of seemingly arbitrary policy decisions on the monetary stability and the macro-economic environment provides investors with great discomfort. Although the stock market rises up due to the low interest rate environment, again, against the threat of a recession. How long this is, however, well, is another star.
turns out, Like amber, can be one of the Alternatives to Bitcoin hot. Because as a counterbalance to the "Easy Money" is Bitcoin the rarest Assets in the history of mankind, the hard money alternative to Central Bank money. If Fiat can no longer meet the money its store of value function of money due to Inflation (see Turkey), is Bitcoin for traditional investors is interesting. In connection with the upcoming Halving, the halving of the BTC inflation rate is likely to manifest Bitcoins Use Case as the best Store of Value at all in the next couple of months.
To sum it up: We've got a perfect storm for Bitcoin on the horizon. We do not need the ideology of Bitcoin Maximalists. We just need to continue to be irresponsible behaviour of the governments. People will buy Bitcoin, because it brings Profit, and because they need a means to preserve wealth.
In short: Bitcoins growth is based on simple economic incentives; the current Situation it speeds up enormous.this is the Macro Tailwinds for Bitcoin – Brendan Bernstein – Bitcoin 2019
watch This Video on YouTube.
The entire presentation can be found here.
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