US Dollar To Crash By 35%, Bringing Bitcoin Bull Run
There have been all kinds of predictions regarding the price of Bitcoin these days.
Following the May halving event, analysts were expecting to see the king coin’s price being boosted to the moon, but this did not happen so far.
Bitcoin retested the important level of $10k, but the digital asset was not able to remain above this resistance level for more than a few hours due to selloff.
The US dollar is reportedly in danger
It’s been revealed that Stephen Roach, former Morgan Stanley Asia chairman said that the US dollar is in trouble and it’s set to fall. This will reportedly boost safe havens such as BTC and gold.
The online publication the Daily Hodl revealed that Roach was featured on CNBC’s Trading Nation and he called out the rapidly changing world amid the pandemic.
He also talked about the US effort to push back on globalization and the massive US budget deficit, as a mix that will drag the dollar down.
He suggested that now is the time to warn investors about a potential dollar crash as the world’s reserve currency may be facing the end of an era.
Problems are going from bad to worse
“The US economy has been afflicted with some significant macro imbalances for a long time, namely a very low domestic savings rate and a chronic current account deficit. But these problems are going from bad to worse as we blow out the fiscal deficit in the years ahead,” he said.
He continued and explained that “The national savings rate, adjusted for depreciation, is probably going to go deeper into negative territory than it’s ever done for the United States or any leading economy in economic history.”
He said that the US is walking away from globalization and it’s focused on decoupling itself from the rest of the world.
He explained that this is a lethal combination that will hurt the dollar.
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Andreas Townsend Author
I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about finance news and everything related to crypto.