Lesson: Beware of Promises of Free Money
Everyone wants free money, which is why altcoins and airdrops continue to attract attention. However, investors often fail to learn their lesson and still fall for new marketing strategies promising free money. It is important to remember that free money or dividends should come explicitly from economic activity.
Avoid the Inverted Yield Curve as a Recession Indicator
The inverted yield curve, where shorter-dated Treasurys have higher returns than longer-term ones, is often seen as a recession indicator. However, it historically takes six to 36 months to happen, so traders should not rely on it. Those who predicted a recession 12 months ago ended up being proven wrong, as the S&P 500 index gained 15% and gold accrued 8% returns.
Bitcoin’s Hard-Locked Monetary Policies
Bitcoin’s hard-locked monetary policies are crucial because they protect against the devaluation of the U.S. dollar. This is why some people believe Bitcoin could reach $100,000 by the end of the year. The money that will flow into Bitcoin is expected to come from gold, real estate, and bond markets.
The Importance of a Spot Bitcoin ETF Approval
The approval of a spot Bitcoin exchange-traded fund (ETF) is seen as essential for a $200,000 bull run in Bitcoin. An ETF would make it easier for institutional investors to enter the market, leading to increased demand and potentially driving up the price.
Closing Thoughts: Don’t Fall for Promises of Free Money and Be Cautious of Recession Indicators
The lesson here is to be wary of promises of free money and to avoid relying solely on recession indicators such as the inverted yield curve. Instead, focus on Bitcoin’s hard-locked monetary policies and the potential impact of a spot Bitcoin ETF approval. These factors could play a significant role in the future of Bitcoin’s value.
By
By
By
By
By