Recently, Bitcoin has risen to around $90,000. This surge can be simply analyzed for several reasons:
1. Debt Relief
It is widely known that the United States has accumulated nearly $35 trillion in debt. How will such a massive debt be repaid? Continuously borrowing to pay off old debts will only cause the debt snowball to grow larger. Currently, the U.S. holds the most Bitcoin in the world, and when the price rises, it will easily facilitate debt repayment.
2. U.S. Dollar Credit Crisis
Due to the enormous debt, global trust in the U.S. dollar is declining. The U.S. can exchange the constantly printed green paper for global goods, and in order to repay its debts, it prints even more green paper, flooding the market and making the global population foot the bill. This Bitcoin surge can help restore the credibility of the dollar after debt relief.
3. Bringing New Anchors to the Dollar
From the initial gold standard to the petrodollar, the dollar has now lost its connection to oil, as it is no longer the largest crude oil producer. The U.S. urgently needs a new anchor to consolidate its dollar system, and Bitcoin is undoubtedly the most suitable choice (decentralized, globally circulated).
4. The Victory of the Understanding King
After the Understanding King’s victory, to make America great again, he must consider the above three issues. At the same time, his election ally Elon Musk is a fervent supporter of cryptocurrency, so the Understanding King may also support Bitcoin to assist Musk.
