Short road map of what to do in different scenarios.
Bitcoin is an inflation hedge. It doesn't look like it at the moment because the news cycle is FED, ECB, BOE and multiple other central banks attempting to fight inflation at the risk of a macro recession (Poor stewardship!). Yet, data, facts and events; print a different picture. The odds rising interest rates will work to fight "At the counter" prices are meagre at best. The most likely and reasonable outcome, is the FED and central banks policies will further antagonize the needs of the people (Goods are perhaps 10% more expensive due to inflation but the 400% we are seeing is due to macro events that wont go away even as the FED and central banks raise rates). Given mid-terms, global election periods and neo-colonialism styled global reserves allocations, it is reasonable to expect the money printer will be forced back into action.
Current state of affairs:
Central Banks rising interest rates = Less access to debt/capital
Macro global outlook (Covid + European Security) = 100%+ "At the counter" price hikes of cost of living goods due to supply chain shocks and self-imposed commodities price hike.
SUM of Factors:
Situation unsustainable and currently poorly managed.
With all this in mind. Seldom a speedy re-structuring of global commodities supply chain via lifting of sanctions aswell as mega-project investment in currently sanctioned countries such as Iran + Venezuela. Prices will keep rising despite governments "attempting" to fight inflation.
People are not horses. People seek debt in difficult times. Politicians seek votes.
Bitcoin is an inflation hedge. It doesn't look like it at the moment because the news cycle is FED, ECB, BOE and multiple other central banks attempting to fight inflation at the risk of a macro recession (Poor stewardship!). Yet, data, facts and events; print a different picture. The odds rising interest rates will work to fight "At the counter" prices are meagre at best. The most likely and reasonable outcome, is the FED and central banks policies will further antagonize the needs of the people (Goods are perhaps 10% more expensive due to inflation but the 400% we are seeing is due to macro events that wont go away even as the FED and central banks raise rates). Given mid-terms, global election periods and neo-colonialism styled global reserves allocations, it is reasonable to expect the money printer will be forced back into action.
Current state of affairs:
Central Banks rising interest rates = Less access to debt/capital
Macro global outlook (Covid + European Security) = 100%+ "At the counter" price hikes of cost of living goods due to supply chain shocks and self-imposed commodities price hike.
SUM of Factors:
Situation unsustainable and currently poorly managed.
With all this in mind. Seldom a speedy re-structuring of global commodities supply chain via lifting of sanctions aswell as mega-project investment in currently sanctioned countries such as Iran + Venezuela. Prices will keep rising despite governments "attempting" to fight inflation.
People are not horses. People seek debt in difficult times. Politicians seek votes.
Trade active:
Situation still extra-volitile. No we have not topped for the cycle. We are goign higher. The problem is that the FED is giving the ilusion that it can pull an effective fight against inflation and comodities. Whether it is today, tommorow or the day after it cannot. The sooner the fed realizes this the better. But for now it will do whatever it can, to keep the theater up. Still confident. Still long. WGMI!
I am not a financial advisor.
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