Interest rates across the globe are going to zero, and it’s bullish for Bitcoin, according to Morgan Creek Capital Management Founder and CEO, Mark Yusko. He also noted that the recent price drop should not bother investors, and they should focus on purchasing more.Zero Interest Rates Good For BitcoinYusko recently spoke in a CNBC interview regarding the cryptocurrency market, and Bitcoin in particular. He strongly believes the largest digital asset will continue increasing its value in time.He said that interest rates are going to zero on a global scale and that this is good for the world’s leading cryptocurrency.“Oh, [it is] massively bullish. […] In a world of rogue central bankers, Bitcoin is king. Interest rates around the world are all going to zero. All of them. It’s all because of
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Jordan Lyanchev considers the following as important: AA News, Banks, Bitcoin (BTC) Price, Bitcoin-Halving
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Interest rates across the globe are going to zero, and it’s bullish for Bitcoin, according to Morgan Creek Capital Management Founder and CEO, Mark Yusko. He also noted that the recent price drop should not bother investors, and they should focus on purchasing more.
Zero Interest Rates Good For Bitcoin
Yusko recently spoke in a CNBC interview regarding the cryptocurrency market, and Bitcoin in particular. He strongly believes the largest digital asset will continue increasing its value in time.
He said that interest rates are going to zero on a global scale and that this is good for the world’s leading cryptocurrency.
“Oh, [it is] massively bullish. […] In a world of rogue central bankers, Bitcoin is king. Interest rates around the world are all going to zero. All of them. It’s all because of demographics, deflation, and too much debt. You can’t pay back the debt. You can’t default on the debt, so you got to inflate it away by devaluating your currency. The central bankers are going to print – that is massively bullish for Bitcoin.”
He added that the largest cryptocurrency is “your option to get opt-out from the fiat fiasco.”
Indeed, interest rates keep decreasing and in some countries are even going below zero. As Cryptopotato reported recently, more and more banks are introducing negative rates.
Stack Your Sats
Aside from speaking about central banks’ effect on Bitcoin, Yusko also touched upon the price performance of the digital asset. More specifically, he reflected on yesterday’s $1,000 crash.
Yusko said that investors should not pay too much attention to similar moves. Yet, such drops could be an excellent opportunity for buying; “if it’s down 5% today, buy it now. Buy it tomorrow, buy it every day – stack your sats.”
He also indicated that Bitcoin’s fundamentals are strong and they are more critical for the long run:
“The fundamentals continue to increase and improve. Adoption is growing; the number of wallets is up; the number of transactions is up.
We also have the halving event that’s coming up in May. That compresses supply. There won’t be as many rewards every 10 minutes at every block. […] Prices usually adjust around those events. We’ll see a lot of upward moment in the mid-half of this year. In the second half, you’ll probably get to see a lot of the chasing that we saw back in ’17.”
Yusko added that Bitcoin is “the most secure computer network in the world.” This makes it a “perfect store of value.” He mentioned the stock-to-flow model, noting that as the flow slashes in half after the Halving, the ration will improve. Hence, Bitcoin might become “the digital form of gold.”