Bitcoin has been in the spotlight a lot this month, with two massive and strong rallies above $19k and while crypto enthusiasts were expecting to finally see an ATH, this did not happen. Yet.
Ut’s important to understand that the correction that we saw is a healthy one, and big investors only see it as a chance to buy more BTC at lower prices.
Panic sell is not an option for them, and they keep accumulating and waiting for the new ATH.
It’s been recently revealed that there’s a new Bitcoin BFF these days. Check out the details below.
Bitcoin’s new ally
Morgan Creek Digital co-founder Anthony Pompliano said that there’s a great future ahead for Bitcoin with Joe Biden-appointed Janet Yellen at the helm of the US Treasury Department.
He said that she did not shy away from money printing policies in the response to the economic crisis, and this could lead to the dollar devaluation. As a result, we’ll be witnessing more demand for a store of value assets such as…Bitcoin.
He believes that whether or not the dollar is actually inflated, the fear of devaluation will lead to a boost in Bitcoin’s price.
“Essentially, Janet Yellen is likely to be Bitcoin’s greatest ally over the coming 4-8 years. She has never seen an opportunity to print money that she didn’t like. She has never seen a situation of high inflation that scared her,” he said.
He continued and explained: “Given that we are currently living during a period of high unemployment due to the coronavirus, it would be my expectation that Janet Yellen will begin pulling out every tool of monetary stimulus to get unemployment lower.”
Pomp specifically cites Yellen’s response to the early-2000s housing bubble, which formed around 2006 and 2007.