Top of the Stack - June 15, 2020
Tipping point...
In the world of crypto it is absolutely essential to do your own research. My advice, read a lot but approach everything with a critical mind.
Here are some stuff you should check out this week.
Nick
The US Treasury war chest
The US Treasury General Account is the account held by the US Treasury at the Federal Reserve. Until recently the US Treasury never held more than US$ 500 Billion there. But as of last week their balance is US$ 1.5 Trillion!
It makes you wonder how they are going to spend all that and what kind of volatility shock this will cause when they do so.
Something to watch for sure.
Tipping point
For the long term growth of Bitcoin just having a robust system and good liquidity is not enough. Bitcoin needs to win the narrative battle too. And it looks like we are making some progress.
Remember that Bitcoin is a paradigm shift. That means most of what it will become won’t be driven by the older generation. The people you need to make sure to get onboard with the narrative are the millennials and below.
This is why it is interesting to see survey reviews like the one at The Tokenist. I’ll just extract one number for you: 51% of millennials trust Bitcoin over big banks. That’s 24% higher than in 2017!
Is this the tipping point?
I highly recommend you check out the details of the survey.
The Federal Reserve is forecasting…
…bad news. In case it wasn’t clear enough that the real economy is in deep trouble, the Fed spells it out for us:
Rates are going to stay low in the foreseeable future.
The Fed will continue to print money as they see fit to support the economy i.e. they’ll print a lot more money.
They see the unemployment rate in the US to be around 9.3% by the end of the year. That’s where it was at the worst of the 2008 crisis!
By the way these are the people who are supposed to be bullish about the US economy…
Hodling
From glassnode, a new all time high number of wallets holding more than 0.1 BTC. On the one hand it’s nice to see that number growing. On the other hand this is still only about 3 million wallets…
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