The US and China can’t afford a recession now
If growth stalls, debt spiral begins and both economies implode
❖ Global media headlines are predicting a war between China and the US
❖ With this kind of news, crypto isn’t even on people’s minds, they’re more worried about their lives
❖ Let’s put NYT and Washington Post aside and break down why now is the best time to invest
❖ It’s funny to me that some believe WW3 will start this year, because major wars mean massive costs
❖ China and the US, as the main rivals, are too deep in economic crises to start WW3
❖ With national budget problems, these countries can’t afford long, large-scale wars, so don’t panic
❖ The US has $37T in debt and any economic downturn is a direct road to default
❖ Hundreds of billions are already being used to pay interest on that debt and even a mild recession could crush the US economy
❖ The only solution is to stimulate the economy with money printing and cheap credit
❖ So the US now has two options: QE or cutting interest rates
❖ Either way, the US economy needs more money to cover debt interest
❖ These two options are ideal for the growth of $BTC and crypto in general
❖ QE is when the central bank prints money to buy bonds and inject liquidity into the economy
❖ This effectively lowers rates, stimulates the market and boosts crypto growth
❖ Historically, crypto sees its biggest growth during QE periods
❖ While QE is the only way to save the US economy, it hits the dollar hard
❖ More money in the market = rising inflation and a weaker dollar as a national currency
❖ $BTC will become the inflation hedge for millions of investors during this time
❖ $BTC will confirm its status as digital gold and draw attention to itself and the entire crypto market during this crisis
❖ Thanks to bitcoin reserves, its position in the national market is already strong
❖ Any crisis is a chance for $BTC to showcase crypto as a safe haven for investors
❖ $BTC will rise, but it won’t rise forever and once it hits its ceiling, liquidity will start flowing into alts
❖ That’s when the bull run happens and altcoins go parabolic with all the excess liquidity in the market
❖ Right now alts are in low-cap territory and it’s the best time to buy
❖ I can’t name the exact date QE will happen, but looking at the US economy – it’s coming this year
❖ The US is drowning in debt and needs restructuring and a reset
❖ This is where $BTC will show its strength and solidify crypto as an inflation hedge.