Bitcoin’s impact will be dampened by macroeconomic factors, such as the fall of the US Dollar (USD).BTCTim Draper, founder of Draper Associates and an investor, believes that the halving of the cycle is responsible for the booms and crashes in the BTC market since 2009.
“Between 10-20 years from now, the dollar will be extinct,” Draper said in an interview with Cointelegraph. “The world is changing, and we are watching it happen. We are right in the center of an anthropological leap forward,” Added he.
Draper stated that investors are increasingly viewing Bitcoin as an investment. “escape valve” against poor governanceThe distrust in banking institutions, inflation of fiat currencies, and geopolitical tensions are all factors that contribute to this. driving global adoption The digital currency with a supply limit. The VC also added:
“The halvings may have less of an effect if Bitcoin runs against the dollar the way it has, because it will probably go for a prolonged period. It will still be affected in some way by that four-year cycle, but I think the effect will dampen.
I think there will be a macro driver that pushes Bitcoin along, and I think the macro driver will be a bigger deal than the halvings,” The VC was continued.
Seamus Rocca (CEO of Xapo Bank) argues that there is a possibility of a disruption to the 4-year cycle. four-year cycle isn’t dead yetOthers claim that BTC is a mature macroeconomic asset, which has lost its old market dynamics.
Related: Bitcoin smack dab in the middle of its adoption curve: Fidelity analyst
The USD is falling, and Bitcoins and other hard currency alternatives will benefit.
Jeff Park, Bitwise Analyst in February predicted this: Bitcoin would appreciate in value Due to the growing geopolitical tensions and currency inflation as well as the declining US dollar and the return of protectionist policies, they are gaining widespread adoption around the world.
Trump has said repeatedly that stablecoins denominated in dollars are essential to the dollar’s stability. global reserve status. It allows anyone who has a phone and a cryptocurrency wallet to demand US dollars by placing it on the rails of blockchain.
Bitcoin maximalist Max Keiser believes that US dollar-stablecoins can only provide a short-term solution for the dollar’s decline and are likely to be abandoned. outcompeted by gold-backed tokens BTC is a cryptocurrency.
Magazine: Bitcoin vs stablecoins showdown looms as GENIUS Act nears
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Source: cointelegraph.com
