Bitcoin price is once again soaring, retesting resistance near the current all-time high. According to a top expert on the leading cryptocurrency, the asset’s price chart has become a sort of ‘manipulation gauge’ that measures ongoing economic growth ‘engineering’ by governments.
If that’s the case, resistance won’t be able to hold Bitcoin back much longer, as the US House of Representatives has passed another historic $1.9 trillion relief package. Here’s a closer look at how the ‘manipulation gauge’ has reacted so far.
During the Great Recession, there were unprecedented bank bailouts and other measures to avoid a catastrophic economic collapse. The Pandora’s box of quantitative easing once opened cannot be stopped.
Since that day, wage gaps and financial inequality only widened. The best attempt at instilling change, was created by Satoshi Nakamoto in 2008.
Related Reading | Bitcoin ‘Cheat Sheet’ Calls For Next Leg Up To $77K
Today, Bitcoin is actively fighting that same fight, and winning. The cryptocurrency’s scarce 21 million BTC supply is proving its value during a time when the fiat money supply is expanding at its fastest pace ever.
Dollars and other global currencies have been created at unprecedented rates to combat the impact of the pandemic, and more stimulus will always be necessary each time the economy weakens.
The rate at which this is happening, is appearing directly on the Bitcoin price chart itself, according to expert Preston Pysh, effectively acting as a ‘manipulation gauge’ against the ‘engineering’ governments are doing in hopes of stimulating economic activity.
Bitcoin has become a manipulation gauge of sorts according to Pysh | Source: BTCUSD on TradingView.com
Looking at Bitcoin’s price chart above, the price action is relatively stable – as stable as it gets for a volatile cryptocurrency. But when Black Thursday happens last year, and there’s an enormous spike downward unlike ever before seen.
The extreme move down resulted in such a strong polar move to the upside, further fueled by what has been a perfect storm for the nascent cryptocurrency.
Related Reading | Fund Manager Bashes Bitcoin: An Extreme Form of Libertarian Anarchism
In addition to price rising due to hyperinflation, adoption of the technology is exploding, and institutions are involved for the first time ever, and it has only recently just begun. Gold, which typically performs in this type of environment, has suffered and seen outflows go directly into Bitcoin.
The current bull market uptrend is only poised to continue, as more stimulus packages are on the verge of being passed and funds being distributed directly to businesses and individuals. The risk of hyperinflation remains high, and buying Bitcoin remains the best defense.
Featured image from Deposit Photos, Charts from TradingView.com
Laurent Correia treats making money and keeping it as two separate skills. After years in…
Ripple is expanding the XRP Ledger’s (XRPL) reach into digital payments through a partnership with…
Solana is under fresh pressure after falling below the important $107 support level. Analysts have…
In the Wu Blockchain interview, Justin Sun shared his bold decision to sell 80%-90% of…
In a groundbreaking move to accelerate the transition to the on-chain financial ecosystem, Stellar Network…
Bitcoin’s Coinbase Premium has plunged to a four-year low, a level last recorded in November…