Forbes’ expert, Billy Bambrough, recently explored the rising value of Bitcoin, now over $37,000. But, Bambrough also raised red flag about the fragile U.S. money system, pointing to a massive $33.7 trillion inflation risk noted by the U.S. Federal Reserve.
Bambrough’s findings suggest that top cryptocurrencies like Bitcoin and XRP could shield us from economic troubles. Despite XRP’s recent legal win, it struggles to hit $1, while Bitcoin gains from spot ETFs. Another twist? The U.S. debt story.
Here’s the analyst’s inflation risk argument that you should know more about.
Bitcoin Stands Strong
Bambrough analyzed Bitcoin’s remarkable ascent above $37,000, significantly contributing to the broader crypto market’s upward momentum. However, he juxtaposed this surge with concerns from the U.S. financial landscape, hinting at potential threats to Bitcoin’s trajectory.
Simultaneously, he highlighted a contrasting narrative by legendary billionaire investor Ray Dalio. In contrast to Bitcoin’s prevailing anxieties, Dalio sounded the alarm about the colossal U.S. debt pile, now staggering at $33.7 trillion. The billionaire investor forewarns of an impending “inflection point,” noting Bitcoin as a potential haven amid imminent economic turbulence.
Also Read: Bitcoin Price Prediction 2024: What’s In Store For BTC Price Ahead Of Halving Event
Understanding the Debt Puzzle
Clemente’s look goes beyond the big U.S. debt, pointing to a cycle driven by pandemic spending and shutdowns. Bambrough warns of a “debt death spiral,” where more debt piles up to pay off existing debts. If this happens, the U.S. dollar could collapse, making way for a crypto surge – think modern-day gold rush.
XRP and BTC Price Movements
Looking at the key trajectories, nothing is going great with XRP. The coin has dropped 5.11% from its high of $0.65098 to $0.509–$0.655. Led by large whale transactions and market sentiments, this decrease has highlighted Ripple (XRP) price dynamics. However, the bullish short-term sentiment is shown by the 10-day moving average at $0.651.
Read More: John E. Deaton Offers Strategic Advice for XRP Investors Amid Market Fluctuations
On the other hand, Bitcoin also fell but stabilized near $35,500. Bulls rallied past $36,500 and $37,000 barriers, reviving. After breaking the 50% Fibonacci retracement from the current negative move, the price rose to $37,200.
What role do you see cryptocurrencies playing in the future of finance?
