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According to a Bloomberg analyst, Bitcoin is profiting from the war and the economic situation!

Bitcoin was born in the crisis of 2008. Chaos, wars, crises are its element.

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We are currently going through a difficult period. Between war, pandemic and very worrying economic situation there is nothing to celebrate. The various portfolios, stocks and cryptos, have taken a slap and uncertainty continues to hover over the markets. However, Bitcoin and its friends the altcoins have yet to experience a bloodbath worthy of the name, at -80%, like in 2018 or 2014. It may not even take place and that the All of these detrimental factors only strengthen cryptos.

  • Current Crises Strengthen Bitcoin
  • Bloomberg Expert Votes Bitcoin
  • Have we reached a low point on cryptos  ?

Bitcoin: What Doesn’t Kill It Makes It Stronger

 

Despite a gloomy context, it must be admitted that the balance sheet of Bitcoin and cryptos for 2 years remains very positive. The king of cryptos appreciated by + 60% in 2021 and +300% in 2020

Today, Bitcoin has to go through a new crisis: a major armed conflict between the Western bloc and Russia. And the least we can say is that speculation is rife about the role that cryptos could play in this war.

Add to that an economic context that is worrying to say the least and inflation that is breaking records. The Consumer Price Index (CPI) figures published on March 10 are not misleading. These show an increase of 7.9% compared to last year. As a reminder, this index is used to measure the inflation rate in the United States. The FED, which is powerless witnessing the announced decline of the dollar, is trying as best it can to stem the haemorrhage. In this sense, it has just announced that it will raise its rates by 0.25% this Thursday, March 17.

However, when you print 50% of your total money supply in 2 years, you shouldn’t be surprised to see inflation skyrocket. An inflation that undoubtedly plays, day after day, in favor of Bitcoin and cryptos. Like the March 2020 crisis where panic was the breeding ground for an upward explosion in the cryptosphere, war and inflation could plant the seeds for the next bullrun.

 

Mike McGlone Predicts Bitcoin Outperformance

 

Today even the greats of this world can no longer hide their face: Bitcoin is there, it is strong, and it is here to last. Joe Biden himself understood that it was a question of “national security” and his government hastened to legislate to regulate cryptos without forcing them to flee from the country. In addition, more and more fund managers are interested in cryptos and large American firms ( Tesla, MicroStrategy, Square ) are adding bitcoins to their treasury.

Analyst Mike McGlone, commodity specialist at Bloomberg, also tweeted unequivocally on Thursday:

bitcoin btc bloomberg inflation

In the face of the Federal Reserve, inflation and war, 2022 could be a good year for the reversion of risky assets and mark a new stage in the maturation of bitcoin. Bitcoin is unlikely to stop outperforming gold and equity markets despite struggling as the Fed tries another round of rate hikes.

 

He reveals the substance of his reflection on the current situation. Namely that inflation and war could be another important step for the maturation of Bitcoin. He expects the crypto king to continue to outperform gold and stocks going forward.

 

The Best Time To Buy Bitcoins?…

 

With such strong fundamentals and such gloomy news, wouldn’t this be the best time to buy Bitcoin? Possible. Remember: it is “when blood is flowing in the streets [that] you have to invest” (Rothschild). In other words, it’s when everyone is pessimistic and everything is going badly that the greatest opportunities arise.

BTC has already corrected 50% from its highs. This remains low compared to the -70-80% of previous bear markets, but the context has also changed. Today institutional investors have entered the game. And they already have cards on the table. It is therefore possible that the market has reached greater maturity. And so its volatility, both up and down, begins to subside.

In addition, there is an increasing mass adoption of cryptos in countries that restrict the rights of their citizens. Whether in Nigeria, Ukraine or Russia, the locals understood what the centralization of monetary power really was.

 

…The Future Will Tell !

There is no doubt that if economic conditions continue to deteriorate in the months and years to come, we too in Europe will become fully aware of the added value of Bitcoin.

Obviously, it’s always easier to take stock when you’re a spectator and you don’t have to administer the economy of the world’s greatest powers. Despite everything, it shows that humans are confronted with their emotions and that they do not always act rationally.

Conversely, Bitcoin follows its plan in a cold and mechanical way. It “prints” 6.25 bitcoins for each block created, not one more nor one less. Bitcoin has no leader, no emotions or accountability . It executes the code for which it was designed. That is to say, to create a stable, solid and non-influenceable currency.

Lurking in the shadows, he observes this masquerade organized by the central banks. And it is biding its time to become the new global monetary standard.

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