Bitcoin is going to $100,000 this year and that\u2019s a conservative estimate. However, could foreign exchange markets give clues as to when bitcoin might take off to the next big level?When you\u2019re knee-deep in crypto, it\u2019s easy to overlook various situations in the traditional financial world. But now more than ever, crypto does not operate in a vacuum and one narrative that\u2019s hard to miss is FX (foreign exchange) given that a large chunk of the bitcoin narrative is predicated on its demise.Institutional investors, many of whom hail from hallowed antiquity, have fully embraced the BTC narrative and liken it to the 70\u2019s gold-era trade (as explained by Paul Tudor Jones). Of course, there are various other narratives at play, but this one is worth paying attention to due to the sheer amount of publicity and veneration it has received.For those unfamiliar, the narrative goes something like this: USD is being debased via fiscal deficits and easy monetary policy, which are the global status quo. These policies are inflationary, reducing the Dollar\u2019s purchasing power. As such, holders of the USD will look for assets that will preserve their purchasing power. Bitcoin, which is deflationary, is one such asset. Its properties serve a similar function to gold and in many ways, it is a substitute for gold, and the industry is awash with arguments for both its technical and fundamental superiority to the shiny rock (by virtue of being programmable, digital, absolutely scarce, etc.).This narrative is in part based around sustained Dollar weakness over time. As such, when the USD underperforms relative to other currencies, this lends credence to the narrative, and the thesis and price-action align. Unfortunately, this can also have the effect of making bitcoin bulls delirious, forcing billions in liquidations as evidenced this week.These price movements are observable\u2026<\/p>","protected":false},"excerpt":{"rendered":"
Bitcoin is going to $100,000 this year and that\u2019s a conservative estimate. However, could foreign exchange markets give clues as to when bitcoin might take off [\u2026]<\/span><\/p>","protected":false},"author":0,"featured_media":2796,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/posts\/3189"}],"collection":[{"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/comments?post=3189"}],"version-history":[{"count":0,"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/posts\/3189\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/media?parent=3189"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/categories?post=3189"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/afluxcoin.com\/zh\/wp-json\/wp\/v2\/tags?post=3189"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}