Bitcoin’s Resilience Amidst Trump’s Tariffs: Insights from Industry Experts
The cryptocurrency market, and specifically Bitcoin, has faced its fair share of volatility in recent months. One of the significant factors contributing to this instability is the ongoing trade war between the United States and China, which has seen President Trump impose tariffs on billions of dollars worth of goods. However, despite the market turbulence, some of the leading researchers and analysts in the industry remain optimistic about Bitcoin’s future.
Bitwise Asset Management
Bitwise Asset Management, a leading cryptocurrency index fund manager, recently released its Q3 2019 Crypto Report, which provides insight into the state of the digital asset market. In the report, the team notes that Bitcoin’s correlation with stocks and other traditional assets has weakened, making it a more attractive hedge against economic uncertainty.
Standard Chartered
Standard Chartered, a multinational banking and financial services company, released a report in October 2019 stating that Bitcoin could replace gold as a safe-haven asset. The report, authored by Singh Shaik, Krishna Gaikwad, and Arpita Patnaik, notes that Bitcoin’s limited supply, decentralized nature, and increasing institutional adoption make it an attractive alternative to gold.
Other Industry Experts
Other industry experts, including Mike Novogratz, a renowned Bitcoin bull and founder of Galaxy Digital, have also expressed optimism about the asset’s future. Novogratz believes that Bitcoin’s price could reach $20,000 by the end of 2020 and even surpass $40,000 by 2022.
Impact on Individuals
For individuals, the ongoing trade war and resulting tariffs could present both opportunities and challenges. On the one hand, the economic uncertainty can create a favorable environment for alternative assets like Bitcoin. On the other hand, the volatility in the market can lead to significant losses for those who are not well-versed in cryptocurrency investing.
- Opportunities: Bitcoin and other cryptocurrencies can serve as a hedge against traditional assets during times of economic uncertainty.
- Challenges: Volatility in the market can lead to significant losses for those who are not well-informed or experienced in cryptocurrency investing.
Impact on the World
For the world at large, the ongoing trade war and resulting tariffs can have far-reaching consequences. These include:
- Economic instability: Tariffs and trade restrictions can lead to economic instability, both domestically and internationally.
- Innovation and technological advancement: The trade war has also led to increased focus on technological innovation and self-sufficiency, which could drive advancements in various industries, including blockchain and cryptocurrency.
Conclusion
In conclusion, despite the market turbulence caused by Trump’s tariffs, leading industry experts remain upbeat about Bitcoin’s future. For individuals, the ongoing trade war can present both opportunities and challenges, making it essential to stay informed and well-versed in cryptocurrency investing. For the world at large, the trade war and resulting tariffs can have far-reaching consequences, both positive and negative.
As we move forward, it will be interesting to see how these developments unfold and how they impact the cryptocurrency market and the global economy as a whole.
