Yesterday went in a lateral movement along 6450. Today morning BTCUSD showed one more testing of the 6400 level and returned back to the 6450. The movement is coming to the peak of the lateral wedge, which was formed in September, so during next days the price could shift its hold-on positions. For now, support – 6400, and resistance located at 6500.
Trading Bounds: 6400 – 6500.
? Erik Voorhees: US National Debt Will Be a Powerful Bitcoin Growth Driver
The United States may face financial problems due to growing government debt, which has already reached $ 21.7 trillion. However, the possible inflation and the devaluation of the dollar against this background will open opportunities for the cryptocurrency market. Such an opinion was expressed in Twitter by the ShapeShift cryptocurrency exchange platform CEO Erik Voorhees.
“When the next global financial crisis occurs, and the world realizes organizations with $20 trillion in debt can’t possibly ever pay it back, and thus must print it instead, and thus fiat is doomed… watch what happens to crypto.”
BlackRock CEO Larry Fink and crypto skeptic Nouriel Roubini expressed a similar opinion in the CCN interview, saying that the interest rate is growing too fast, holding back economic growth.
“The US economy is now overheated, with inflation above target figures. Consequently, the US Federal Reserve will continue to raise federal funds rates from the current 2% to about 3.5% by 2020. It is very likely to push up short-term and long-term interest rates, strengthening the dollar”
Note that experts predict the next major financial crisis until 2020. During this period, investors are likely to switch their attention from the dollar to alternative types of assets, including cryptocurrency.
So, according to Vinny Lingham, the founder of Civic and partner of Multicoin Capital, more capital will be generated in the crypto-branch over the next ten years than in the previous decade, even despite the current deep decline in this market.