Hello Everyone,
I guess I am just being curious here. Bitcoin was born after the 2008 recession in which many Bitcoin loyalists have argued that Bitcoin was born to cushion the effect of a possible future recession. What are your prediction and analysis concerning the digital asset if for any reason we witness just another deep recession in 2020? Will Bitcoin go down with the global market?
In my opinion there are few points:
- bitcoin performed really well last months, so I guess it will become backup investment - like most people will escape to it.
- bitcoin can be easily moved through borders, cannot be taken by government and can be easily hidden - so if you are afraid your country go rogue and will try to confiscate gold, denominate money, take over bank accounts
- we are after halving, rising cap and demand may skyrocket price, what will start FOMO not even exact price FOMO, but some people will realize it was good backup commodity
But:
- printing money with good strategy may create illusion of well prospecting markets, so many people will fall into this trap
- institutions are buying BTC to use it as a security, in case of problems all of them will dump it
- also they will buy more now to easily manipulate market in the future and play against bitcoin