Bitcoin Crash May Reflect the Increasing Instability of the U.S. Financial System
[ChainDD report] February 24 (ChainDD) According to the report of 21st Century Business Herald, the US stock market is currently highly bubbly. At the same time, the US government is planning to launch stimulus plan with trillions of dollars, which has led to the loss of funds. That is because the stock price continues to rise, which is already very dangerous. However, finding new assets to allocate is also challenging.
In this context, commodities and bitcoin have come into the sight of financial investors to hedge against dollar risks. It can be seen that Bitcoin has begun to be valued by the financial market, which is the result of the unsuccess of the U.S. monetary policy and financial system.
Moreover, investors allocate Bitcoin as an asset to hedge currency risk, which reflects the upgrading of the instability of the U.S. financial system.