The CEO of BlackRock's statement reveals the core driving force behind this bull market. The financial giant managing $12 trillion in assets openly acknowledges that people are buying Bitcoin due to concerns about currency devaluation. This statement carries more weight than any technical analysis.
Three key points must be understood:
First, global currency devaluation has become a foregone conclusion. The Federal Reserve is about to cut interest rates, the European Central Bank is continuing its easing policies, and the yen and euro are continuously depreciating. In this environment, Bitcoin is becoming a safe haven for global capital.
Second, institutional entry has only just begun. BlackRock's spot ETF has currently only purchased 300,000 BTC, which is a drop in the bucket compared to the $12 trillion in assets it manages. Just thinking about how much capital might enter in the future is exciting.
Third, the positioning of Bitcoin has undergone a qualitative change. From 'digital gold' to 'devaluation hedge', the narrative around Bitcoin is upgrading. This means that the bottom of the next bear market will be significantly higher than the last, and we may never see BTC below $30,000 again.
Insights for ordinary investors:
1. Treat Bitcoin as a long-term hedge against inflation, rather than a short-term speculative tool
2. Every pullback is an opportunity to increase positions, but be mindful of position sizing
3. Focus on the Federal Reserve's policy direction, as it determines the speed of capital inflow
Ironically, Bitcoin, once regarded as a 'tool for crime', is now hailed by the world's largest asset management company as the 'antidote to currency devaluation'. This shift tells us: in an era of continuous fiat currency devaluation, Bitcoin is not an option, but a necessity.
