Although many think that Bitcoin can no longer be considered a safe haven, because it has failed many at the beginning of the crisis, today more and more people recognize that cryptocurrency however, it can be a security in the global era inflation.
Inflation and Bitcoin
Inflation Bitcoin will soon drop significantly. And this is due to halvinguwhich is to take place in May. Mati Greenspan, a well-known analyst from the cryptocurrency market, analyzed the case.
He believes that Bitcoin inflation will fall under the split for miners from 3.65 percent. up to 1.8 percent In turn, the global annual inflation rate for fiat currencies in 2019 was 3.41 percent. Currently, it is already around 3.56 percent. In the case of gold, we are currently talking about 2.5 percent.
In just 15 days, the annual inflation of #bitcoin will go from 3.65% to just 1.8% … approximately half of the global annual inflation rate.
At this point, adoption doesn’t even need to grow to sustain the price anymore. Satoshi either knew what he was doing or got really lucky. pic.twitter.com/ml1eXZFrO4
– Mati Greenspan (tweets are not trading advice) (@MatiGreenspan) April 26, 2020
What’s the worst for thrifty Poles / Americans / French / Germans / Chinese (actually enter any nation here) is that the monetary policy of almost all central banks in the world today is based on quantitative easing, or more clearly – printing on currencies. The financial authorities are lowering interest rates to almost zero, wishing to stimulate the markets that get hit during the economic crisis.
What effects will such steps of politicians and officials bring? It is possible that the Polish prime minister is right, that it will be the first deflation (Eventually, demand for products and services will fall, because scared consumers will not spend a lot of money in the first months of the crisis). Then inflation can start to rise. Maybe even to a scale we are not dreaming about today.
Bitcoin is a salvation for investors
And here comes the chance for Bitcoin. Some investors may be encouraged by the fact that supply kryptowaluty it is limited and cannot be inflated artificially with one decision by the authorities. Same BTC it can become something that will protect us from inflation fiat currency. We have already seen in the case of Venezuela that cryptocurrency can work like this.
Halving is expected to take place in May. The price of Bitcoin is already rising strongly. Today for 1 BTC you pay around USD 7800.
Current course You can always check Bitcoin and other cryptocurrencies in the tabs: course Bitcoin and cryptocurrency exchange rate on Bitcoin.pl. A place where you can buy Bitcoin and other kryptowaluty, include cryptocurrency exchange BitBay.net. If you don’t have a BitBay account yet, this article will show you how to create one efficiently: LINK.
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