Does business need competition?

15m
bitcoinwarrior

Sally Ho's Technical Analysis 22 September 2019

40m
cryptodaily

Bitcoin Sheds $10,000 Support Again Ahead of Bakkt Launch

2h
newsbtc

SEC Driving Cryptocurrency To China: Interview With DECENT

2h
bitcoinwarrior

Is Bitcoin the Answer to the Bond Bubble?

2h
beincrypto

Everipedia co-founder Sam Kazemian is building a better stablecoin with Frax [INTERVIEW]

4h
cryptoslate

Binance US unavailable in 13 major states including Washington

4h
bitcoinwarrior

Everipedia co-founder Sam Kazemian is building a better stablecoin with Decentral [INTERVIEW]

4h
cryptoslate

Armenian IT Company Accused of Illegal Electricity Use to Mine Crypto

5h
cointelegraph

Coinbase Considering Support for 17 Additional Digital Assets

5h
dcebrief

Venezuela’s Monthly Inflation Rate Spiked to 62.5% in August 2019

5h
nulltx

Swiss University Fights Fake Diplomas With Blockchain Technology

5h
cointelegraph

Ripple’s XRP Faces Steep But Healthy Consolidation

6h
zycrypto

Top 5 Ethereum Faucets to Start Earning Ether in 2019

6h
cryptoglobe

A New All-Time High For Bitcoin May Take Another 300 Days – Yoni Assia

7h
zycrypto

Blackstone CEO Hates Bitcoin but Loves Blockchain

7h
beincrypto

Two Firms to Build Blockchain-Based Solution for European Shipping

7h
cointelegraph

Crypto Tidbits: Bakkt Bitcoin Futures Inbound, NASA Hints at...

7h
newsbtc

History Suggests Bitcoin is Currently in Early Stages of Next Bull Run

8h
cryptonewmedia

10 Best Performing S&P 500 Stocks Since 2000. You’ll Never Guess…

8h
cryptonewmedia

Bitcoin Magazine Week in Review

8h
cryptonewmedia

Real-Time Strategy Game for Mining ‘Crypto Gold’ Launches on WAX

8h
cointelegraph

North Korea’s crypto countermeasures are an answer to Bitcoin

8h
cryptonewmedia

Colombia Seeks to Up the Ante on Crypto Legislation

8h
livebitcoinnews

Libra Claims it is Not an “Investment”; 2020 Launch Fixed Despite…

9h
cryptonewmedia


Fed Chairman Powell Validates Bitcoin as a Store of Value in Front of US Senate

Bitcoin and the aggregated crypto markets have been facing tremendous selling pressure over the past couple of days which was sparked by BTC’s rapid surge into the $13,000 region. Although this drop is certainly negative from a technical perspective, it is important to note that the cryptocurrency is still incredibly fundamentally robust.

One such example of Bitcoin’s fundamental strength can be found while looking towards Fed Chairman Powell’s recent comments about Bitcoin, where he described it as a perceived alternative to gold – a statement that is largely being interpreted as having bullish undertones.

Powell made the comments that are sparking excitement within the cryptocurrency community during a recent testimony in front of the US Senate, where he covered a broad range of topics regarding the US and global economy, while also setting the stage for a potential interest rate cut in the coming months.

On the topic of cryptocurrencies – which was briefly addressed during the testimony, Powell notably said that a system of cryptocurrency that achieves widespread adoption could diminish, or remove, the need for a federal reserve currency, adding that widespread adoption hasn’t been seen quite yet.

Alex Kruger, a popular economist who focuses primarily on cryptocurrencies, followed the senate testimony in a thread of tweets, elucidating Powell’s response to a question regarding the aforementioned topic.

“Things like that are possible, but we haven’t seen widespread adoption… if we do see it you could see a return to an era in the United States where we had many different currencies in the so-called national banking era,” Powell said during the testimony.

POWELL: THINGS LIKE THAT ARE POSSIBLE BUT WE HAVEN'T SEEN WIDESPREAD ADOPTION. POWELL: IF WE DO SEE IT YOU COULD SEE A RETURN TO AN ERA IN THE UNITED STATES WERE WE HAD MANY DIFFERENT CURRENCIES IN THE SO CALLED NATIONAL BANKING ERA.

This response has largely been characterized as bullish for the crypto markets, as it seems to acknowledge the possibility that Bitcoin could, one day, be widely utilized alongside state-sponsored currencies.

Furthermore, while adding onto his previously mentioned thoughts about Bitcoin as having the potential to transition the US into a new era of banking and finance, Powell also explained that he believes BTC’s main utility presently is being a store of value, much like gold.

“Almost no one uses Bitcoin for payments, they use it more as an alternative to gold. It’s a speculative store of value, like gold,” Powell noted; a sentiment that Krüger believes is “validation of the highest order” for BTC

POWELL: ALMOST NO ONE USES BITCOIN FOR PAYMENTS, THEY USE IT MORE AS AN ALTERNATIVE TO GOLD. IT'S A SPECULATIVE STORE OF VALUE, LIKE GOLD. That's validation of the highest order.

Although in the near-term it remains incredibly unclear as to where BTC and the aggregated crypto markets are heading next, the Fed Chairman’s recent comments about it and its rapid ascent to mainstream discussion is certainly one bullish fundamental factor underlying it.

Regarding any copyrights issue, please contact us:content@hashbee.com.

0 comments