The Bitcoin trend of $BTC is here! Is the bull really back?
Why does the 'understanding king' want to impose tariffs? Why establish a strategic reserve for cryptocurrencies?
The essence is that in June, the U.S. needs to pay back over 60 trillion in maturing loans! How to pay it back?
In the coming weeks, 'Understanding King' and 'Old Powell' will continuously release positive and negative signals, performing for each other, and then U.S. stocks, U.S. bonds, gold, and BTC will experience significant fluctuations.
How to pay back: 1: Issue new debt to repay old debt 2: Raise the prices of gold and BTC as reserve assets to offset the debt.
However, these two actions contradict each other because to issue new debt and attract investors to buy it, you must create a ‘strong green value’, making the U.S. dollar look very attractive, which is a positive for the dollar.
On the other hand, to raise the prices of gold and Bitcoin as assets to offset the debt, you need to create a ‘weak green value’, causing the dollar to drop so that asset prices can rise easily. These two operations are completely conflicting!
So the role of the 'Understanding King' will be 'moody', changing on a whim, because they want to eat from both sides, releasing some positive and negative signals, constantly harvesting. So do you still think the 'Understanding King' is brainless?
The recent rebound in Bitcoin is largely due to the market's expectations of these U.S. policies. Everyone is guessing whether the U.S. will really raise Bitcoin to offset the debt. If they really do, the price of Bitcoin might soar.
And Ethereum, many are betting on interest rate cuts in June. If it really happens, coupled with Ethereum upgrades, and along with tariff negotiation policies, the cryptocurrency market will definitely undergo significant changes. Many believe that May is definitely a good time to buy on dips.
On Wednesday, there will be the U.S. first-quarter actual GDP and core PCE price index annualized quarter-on-quarter initial value, and the U.S. March core PCE price index month-on-month rate;
On Friday, there will be the U.S. April seasonally adjusted non-farm payrolls and unemployment rate.
Recently, the cryptocurrency market has surged too rapidly, and with the market so lively, the risks are quietly increasing. Bitcoin has returned to bull market prices, and altcoins have also surged wildly. There is an old saying: 'Buy when no one cares and sell when the crowd is noisy'.
Crisis and opportunity coexist.
My view has always been that the more the U.S. stirs things up, the more Bitcoin rises, but before the real bull market comes, there must be a major washout, likely starting with a 7. Interested parties can check out the posts on the homepage.
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