Participating in the Qatar Economic Forum at this fifth fair (25), Peter Smith showed concern with a possible technical heat from the United States about the divide. Second or co-founder and CEO of Blockchain.com, it would be bad for cryptocurrencies at first.
Traded at US$ 26,500 at the time of writing, or Bitcoin is ready to date its first month of 2023 in it. Embora still has a 60% appreciation for the year, today the largest cryptocurrency in the market accumulates losses of 9.43% in relation to May 1st.
Therefore, everything indicates that Bitcoin will continue in a large range between $25,000 and $30,000, where it finds its support and resistance, respectively.
However, events linked to the USA, such as public life, legal taxation and at the same time presidential elections, could collaborate to break these price regions, both up and down.
CEO of Blockchain.com is worried about the top of the American divide, but the game can turn
In short, Peter Smith believes that a hot two USA would be very bad for cryptocurrencies at first. However, he points out that the sector could take advantage of the situation in the long term. His falas of him foram captured by Reuters.
“An inadequacy of the USA or a recession in the USA will probably be ruinous for cryptocurrencies. These are risk assets and you want to eliminate the risk.”
“In a long-term horizon, you are [eventos] probably good for cryptocurrencies”continued Smith. “If two US governments default, we will probably see a quick pullback and then a very strong push to top the cryptocurrency market.”
Founded in 2011, the company led by Peter Smith is one of the oldest in the sector, best known for its block explorer and web wallet. According to 2021 data, Blockchain.com was responsible for 28% of all Bitcoin transactions since 2012.
Impasse on the topic of continuous division in the USA
Now the US can raise the limit of the division, as we have repeatedly set it over more than 100 years, or the government is reluctant to follow this path. Um two reasons is that it is so força or cut of expenses.
No meanwhile, the decision could also be a tragic case, mild to a technical heat. Because it is an event without precedents, no one knows how to explain what would be the true impacts on the economy, but they would not be positive.
Finally, as isso would affect trust over the dollar and other investments linked to the US, such as Treasury titles, isso can make investors migrate for other assets in no medium term. Bitcoin and ours are two strong names on this list of options, leaving at the same time currencies like Euro and Japanese behind.