Bitcoin is looking more like the global currency of the future as the USA injects $6 trillion into its economy with its stimulus package. As economists have noted time and time again, this is a recipe for the accelerated devaluation of the fiat currency.
To put it into perspective, $6 trillion was the gross domestic product of the U.S. economy in 1990. Now, under economic stress, spurred by the coronavirus, the nation stands at a crossroads where a $6 trillion dollar mistake could be in the making.
After Trump’s economic advisor revealed the stimulus package for the U.S. economy, the Dow futures rallied but gains were short-lived. The stock market failed to rise enough to put out the fires of anxiety in the markets.
According to Trump,
“The beautiful thing about our country is $6.2 trillion — because it is 2.2 plus 4 — it’s $6.2 trillion, and we can handle that easily because of who we are, what we are,”
Already, Trump has signed a $2 trillion coronavirus relief bill during a signing ceremony in the oval office.
Recent events have contributed to the U.S. dollar’s biggest weekly loss since the peak of global financial crisis of 2008.
The supply of the dollar has increased significantly, further pushing its value lower and reducing the purchasing power of households across the nation.
According to bitcoin advocate , Anthony Pompliano, “Fiat money is getting more plentiful. Bitcoin is getting more scarce,”
Interestingly, the number of bitcoin wallets with at least 1 bitcoin has reached 788,755, according to Glassnode Studio.This could suggest that most bitcoin investors are either holding more of the cryptocurrency or that more investors are entering the market.
The use of bitcoin is rising. Statistics show that more merchants are using bitcoin to facilitate transactions. Some regions have experienced as much as a 600 per cent increase in the number of commercial transactions being made with the cryptocurrency.