The value of bitcoin is surging as Fiat currency stagnates.
It seems that cryptocurrency is in fact the place to be, as the uninformed sit uncomfortably by watching the value of their central bank issued notes falling under pressure.
So what are we witnessing with regard to these new sources of wealth known as cryptocurrency?
To anyone with even a basic understanding, the answer is exceedingly simple.
People are losing their faith in the ability of world central banks to keep the purchasing power of their issued notes from falling. Moreover, people are also understanding that central banks will continue to force the value of their issued notes even lower..It is also exceedingly obvious that king dollar is not so king anymore, as more and more governments are omitting the dollar in bilateral trade.
I am of the firm belief that along with the epic rise in the value of cryptocurrency, it will not be long before governments themselves begin to accept payment in the form of cryptocurrency, and for anyone out there waiting for the cryptocurrency "bubble" to burst I have news for you, we haven't seen anything yet with regard to the realized end value of this asset.
For any asset to actually be in a bubble, it must first be widely held. To put a perspective on "widely held," let's look at another asset, housing which is currently in a huge bubble. Housing is obviously widely held.
Many people throw the term "bubble" around without having the slightest clue of how to recognize one.
In order for an asset to be in a bubble two things must happen.
- It must be widely held and 2. The said asset must move above the ability for an individual who is making an average salary to afford it.
Gregory Mannarino
