Connect with us

Blockchain

Fed’s Eric Rosengren expects Bitcoin to come under pressure

Bitcoin surged to a fresh all-time high of $56,425 earlier today and its market cap crossed $1 trillion for the first time in history. Despite the market-leading cryptocurrency’s strong rally, the

The post Fed’s Eric Rosengren expects Bitcoin to come under pressure appeared first on AMBCrypto.

Avatar

Published

on

Bitcoin surged to a fresh all-time high of $56,425 earlier today and its market cap crossed $1 trillion for the first time in history. Despite the market-leading cryptocurrency’s strong rally, the Federal Reserve Bank of Boston remains unimpressed with the digital asset.

Federal Reserve Bank of Boston’s President Eric Rosengren said that he has been personally surprised that Bitcoin has continued to flourish.

In an interview with the New York Times, Rosengren said,

“I would expect, over time, Bitcoin prices to come under pressure.”

According to him, there is no long-lived use case for digital currencies like Bitcoin in a world where central banks will eventually offer their own alternatives. Rosengren pointed out,

“I would suspect, down the road, that a number of central banks will have digital currency,” he added “When there is a digital currency available, other than the underground economy, it’s not clear why people would use Bitcoin.”

He also noted that China and Sweden are well on their way to implementing their own central bank digital currency (CBDC), commenting that the United States was not far behind in the process.

According to him, the Boston Fed has been actively researching the possibility of introducing a CBDC in the U.S.

Most investors making allocations towards Bitcoin are not doing so to transact via digital currency, but to invest in an alternative ‘store of value’. Bitcoin is often compared to gold as an appropriate inflation hedging asset during periods of high inflation.

Tesla CEO Elon Musk even commented on Tesla’s recent $1.5 billion Bitcoin purchase saying that the reasoning behind this purchase wasn’t directly reflective of his opinion”.“When a fiat currency has negative real interest, only a fool wouldn’t look elsewhere”, he stated on Twitter.

According to Musk, having some Bitcoin is simply a “less dumb” form of liquidity than cash.


Sign Up For Our Newsletter


Source: https://ambcrypto.com/federal-reserve-bank-of-bostons-eric-rosengren-expects-bitcoin-to-come-under-pressure

Blockchain

Avatar

Published

on

Coinsmart. Beste Bitcoin-Börse in Europa
Source:

Continue Reading

Blockchain

Avatar

Published

on

Coinsmart. Beste Bitcoin-Börse in Europa
Source:

Continue Reading

Blockchain

Avatar

Published

on

Coinsmart. Beste Bitcoin-Börse in Europa
Source:

Continue Reading
Blockchain1 day ago

ETHFUND Launches First NFT Tokenization of Online Movies in China

Blockchain5 days ago

Nhash Cloud Mining Get 30$ Free When You Sign Up

Blockchain3 days ago

PancakeSwap DeFi Governance Manipulated by Single Whale Vote

Blockchain4 days ago

Filecoin Price Analysis: 18 April

Blockchain5 days ago

Top Trader Says Crypto Asset That Surged 2,550% in Two Months Has No Limits

Blockchain4 days ago

DeFi Deep Dive – Synthetix, Real World Assets to Crypto

Blockchain5 days ago

Shark Tank’s Barbara Corcoran Advocates Getting Rich by Investing in Real Estate, Not Cryptocurrencies

Blockchain5 days ago

Bank of Brazil Offering Exposure to a Crypto ETF for Its Customers

Blockchain5 days ago

The 5 best decentralized VPNs for data privacy

Blockchain4 days ago

Ripple Price Prediction: XRP/USD Slide below $1.56; the Coin is Down with 11.63%

Blockchain3 days ago

NFT Game Market Booms as Startups Raise Millions of Dollars

Blockchain4 days ago

Sunday Bitcoin Flash Crash Sees $10 Billion in Positions Liquidated

Blockchain5 days ago

Bitcoin (BTC) Price Prediction: BTC/USD Shows Weakness, Slumps From $65,000 High But Finds Support above $60,000

Blockchain5 days ago

Venus (XVS) price aims for $100 amid rising TVL and surge in DeFi users

Blockchain5 days ago

Silicon Valley ‘Super Angel’ Investor Ron Conway Says Crypto Economy Is the Next Multitrillion Dollar Opportunity

Blockchain5 days ago

Binance Launches Tradable Stock Tokens, Starting with Coinbase and Tesla 

Blockchain4 days ago

If You Want a Cheap Bitcoin Mining Rig, You Could Use a Commodore 64

Blockchain5 days ago

Crypto Asset Manager Kryptoin Re-Files for a Bitcoin ETF 

Blockchain5 days ago

VET Price Analysis: Unlocks New All-Time Highs, Consolidation in View

Blockchain5 days ago

Which Crypto/Stock Will Elon Musk Promote After Gamestop and DOGE?

Blockchain5 days ago

$7.6 billion in crypto long positions liquidated in one hour as bitcoin plunges to $52,000

Blockchain2 days ago

MLB Legend Ted Williams’ NFT Art on Deck at Auction

Blockchain5 days ago

VeChain Mentioned in 2021 Forbes Blockchain 50, Parabolic Move In Sight?

Blockchain2 days ago

MakerDAO Governance Votes on Liquidation System Upgrade

Blockchain1 day ago

JPMorgan Strategists Warn Bitcoin’s Momentum Could Collapse

Blockchain5 days ago

Canada Approves Three Ethereum ETFs, Ether Funds Set to Launch on TSX Next Week

Blockchain5 days ago

Societe Generale Taps Tezos (XTZ) Blockchain for Issuance of Security Token 

Blockchain5 days ago

Technical Analysis – Loopring (LRC), Bancor (BNT), and JUST

Blockchain5 days ago

5 Tips on How To Start a Business Through Crypto Investing

Blockchain4 days ago

‘Popularity of NFTs Shows People Are Ready to Work With Crypto’ — The Week in Quotes

Trending