Bitcoin
Bitcoin
The bitcoin price has rocketed higher over the last year, fueled by a fleet of new Wall Street spot bitcoin exchange-traded funds (ETFs)—though a Congress crypto bill could be about to cause a “huge disaster” for bitcoin, ethereum, XRP and the wider crypto market.
Now, after an executive at Tesla billionaire Elon Musk’s social media company X revealed the platforms payments “end goal,” Musk has warned the U.S. dollar will soon be worth “nothing” as “stealth money printing” pushes the price of bitcoin, ethereum, XRP and crypto higher.
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“We need to do something about our national debt or the dollar will be worth nothing,” Musk posted to X in response to a post by an X influencer that included a quote by former U.S. president national security advisor H.R. McMaster calling for defense spending to be doubled to 4% of GDP in anticipation of “another world war.”
U.S. debt has recently hit $34 trillion thanks to the Covid pandemic, lockdowns and huge stimulus spending and will add another $1 trillion every 100 days, according to Bank of America analysts who predicted bitcoin is set for a “blowout year” as a result.
“Just stating the obvious,” Musk added in a follow up post.
Meanwhile, Arthur Hayes, a trader who cofounded the crypto derivatives pioneer BitMex and who now manages a family office named Maelstrom, wrote in a blog post that he expects the bitcoin price to soar to around $70,000 per bitcoin due to the Federal Reserve and the U.S. Treasury beginning “stealth forms of money printing” that will help the crypto market “bottom, chop and begin a slow grind higher.”
This week, Federal Reserve chair Jerome Powell said it was unlikely that the Fed’s next move will be an interest rate hike and that it will slow the pace it is allowing maturing bond proceeds to roll off the balance sheet without reinvesting them. The slow down means the Fed will reduce it’s balance sheet by $300 billion per year compared to the $720 billion pace when the so-called quantitative tightening program began.
Musk’s U.S. dollar collapse warning follows similar warnings from others. Last month, legendary bitcoin billionaire Tim Draper has issued a “cataclysmic” U.S. dollar prediction—warning the dollar will collapse by 2030.
“I hope anybody who’s watching this is trying to at least have some bitcoin so that they can feed their family during the time when the dollar goes to zero,” Draper, who has made billions from his $18 million 2014 purchase of almost 30,000 bitcoin from the U.S. government, told Cointelegraph.
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Inflation spiraling out of control in 2022 led The Black Swan author Nassim Taleb to warn of an impending “death spiral” for the U.S. dollar which the Federal Reserve is unable…
This article was originally published by a www.forbes.com . Read the Original article here. .