I’ve written about why most people don’t need bitcoin, about why the evidence is overwhelming that bitcoin trades as a speculative asset, but I’ve always left room for the possibility of the seemingly impossible: that bitcoin will one day make a miraculous metamorphosis from a get-rich-quick trade to an inflationary hedge.
The most bullish I’ve ever been on bitcoin was in October last year when bitcoin rose as the Nasdaq pulled back.
Bitcoin’s been billed by its biggest proponents as a store of value in a hyperinflationary environment produced by excessive stimulus from policymakers.
Bitcoin has utility in its role as a censorship-resistant means of money transfer, but many cryptos can accomplish this goal.
Bitcoiners have never been more convinced that destiny is manifest, and many believe crypto canon calls for an extension of gains after last year’s block “halving.” Gold is finally rallying, but bitcoin’s hit a wall.
I think the more compelling case is that the chart reflects a first-of-its kind peak for bitcoin that reflects a lack of new buyers as opposed to an intolerably fast extension of price.
Without the digital gold story, I don’t see how bitcoin sustains any price level from recent history.
Prior to that, I was a reporter at The Bond Buyer, primarily covering the sell side of the municipal bond industry, writing stories about bond insurers, underwriters, ratings services, bond counsel and general market trends.