I think the Trump administration wants Bitcoin and gold to go way higher and faster than most people can even fathom. The reason why is something called the Cantillon Effect. Basically, what happens is as we print more money—since the U.S. has to keep printing more money as the reserve currency of the world—we want to send money out to the world and also get GDP to grow.
The problem is that this creates inflation, and citizens don’t like that. So how do we get money into the system to grow the economy without causing massive inflation or pricing millennials out of homes? They can’t buy stocks, and everyone’s mad at the boomers and all these types of things.
Well, remember Bitcoin is the most sensitive to liquidity. So, if Bitcoin becomes a liquidity sponge and soaks up the majority of that liquidity, we could see Bitcoin go up by 10x, while real estate might only go up by 10–15%, and the S&P 500 might also only go up by 10–15%. That could help hold prices down.
#bitcoin #asknostr #hardmoney