Let me see if I get this right...
The US (representing less than 5% of the global population) may have to raise the debt ceiling because they've printed the dollar into oblivion and because of that people selling their BTC for USD?
I mean thanks for supplying the market with coins but does anyone else see the absurdity in this?
Too many people just treating Bitcoin like day trading stonks and getting over-leveraged and forced to sell when that margin call comes.
Unfortunately most people who buy Bitcoin aren't buying it for the right reasons.
I can only see the reality of inflation causing unwanted liquidation (look at consumer credit levels too...yikes). We've had to liquidate some gold to make two ends meet.
But I agree 💯 that under normal circumstances selling BTC for fiat is absurd.
Here's the thing tho. I'm gonna make a prediction right now and we'll see if I'm right in a year or two.
Once inflation is considered "under control" by central banks, they will bring interest rates down to or close to the previous unsustainable lows.
Why?
The economy and indeed production of fiat currency itself is almost totally reliant on debt creation and the entire house of cards would come crashing down if people were incentivised to save rather than become debt slaves.
80-90% of the global fiat money supply is commercial bank money. This means it's created as debt by private banks. It didn't exist before a loan was taken out.
If everyone decided to live more conservatively, the fiat money supply would be at risk of total collapse.
🎯
It is truly a vicious circle once you're trapped in it: inflation taps out savings, debt fills the gaps, repeat. One has to get radical to escape it.
Everything from stocks to btc is going to go down some more before it gets worse. Btc will hold the best support i imagine with June 1st incoming. We shall see though. Did you see Nvidia yesterday explode on that earnings report???? Crazy.
I agree. Shows you how confused people are when it comes to separating old money from new money. Even if the US defaults and IF every US citizen had some BTC. That's less than 5% of the global population.
Selling BTC for the currency which is literally about to implode because the market says so is literally insane.
But, the coins for those who do understand have to come from somewhere so I guess I shouldn't complain.
