Even while facing the wrath of the US government, regulators, and mainstream press, Bitcoin and crypto continue to hold strongly.
Mainstream press down on crypto
Hardly a day goes by when yet another article appears in the mainstream press heralding such and such a misdemeanour in the crypto sector. Whether it be that Bitcoin uses more energy than this or that country, or another crypto exchange is sent a notice informing it of impending litigation from the SEC.
Everything appears designed to malign the crypto industry and make it seem that it is all a den of thieves and brigands. Perhaps the strategy is that while the public is fed such ideas by the mainstream press, this can help to take the focus off of what is happening in the banking industry.
Banking sector dead in the water
It would seem a decent strategy considering the widespread decay to be found in the banking sector. Many banks are underwater after buying long term bonds when the interest rate was at zero percent. Now the US is looking at 5.25% these banks are severely in debt.
Regulators allowed these banks to not have to mark to market these losses and so that is why many banks are where they are today. If such goings on were happening in crypto it can be assured that a full account would be plastered across the mainstream press.
It is no longer a mystery as to why the Biden administration is pursuing the crypto industry with such fervour. With the banks under such extreme duress there is the chance that the public starts to get wise and begins to put part of its wealth into Bitcoin.
Bitcoin is the logical play
Once it’s known that you cannot get wealthy on dollars (or any other fiat currency) and that inflation and money printing is stripping away purchasing power, a move into sound monies such as gold, silver and Bitcoin is the most logical step.
Bitcoin has started the week well and is up 1.75% at time of going to press. There may be downside still to come but if Bitcoin can stay above the $25,000 support level another surge upwards could be on the cards.
The weekly Stochastic RSI is on the way down and when it gets to the bottom and turns up, the momentum would likely give a strong impetus to price.
The rest of the cryptocurrency market is also in the green for the start of the week. Some cryptocurrencies have already seen a resetting of the RSIs so perhaps some breakouts could happen over the next few days.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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