Creating a conspiracy, Trump endorses Bitcoin.
On July 28, Trump announced that, if elected, he would fire the chairman of the National Securities and Exchange Commission and select cryptocurrency-friendly regulators to attract virtual currency enthusiasts and capitalize on the industry's growing influence in the political arena.
Trump's statement further indicates the United States government's intention to strengthen virtual currency.
Why is Trump putting on a show at this juncture?
Obviously, of course, for the sake of cutting leeks.
United States credit is not cheap, and it is not something you can give if you want it or refuse it if you want to.
Compared with the previous twisted stance of the Securities and Exchange Commission, Trump obviously values the key features of Bitcoin and wants to better cut leeks through Bitcoin.
From the perspective of common sense of investment, the rise and fall of stock prices depends on the financial status of the stock issuing company, and the upper and lower limits of stock price fluctuations are determined by the fluctuation of financial conditions.
Put simply, the share price is locked in financially. There is a clear expectation of stock prices.
The stock price has a cap, which indicates that the United States government can tax the stock price with a clear upper limit.
Even if it is like in the past, the seven sisters of technology have been warmed up through AI, so that the stock price has skyrocketed sharply in just two years, which seems to be enviable, but it is a bit difficult to exit.
This week's plunge and the evaporation of 2 trillion market value shows that this book profit is so fragile. Can't cut, can't cut too fiercely, otherwise the market will break out fierce resistance, especially the United States pension, which is also deeply involved, United States people's pension money is in it, and the stock price has fallen, that is, there will be a big problem.
According to the Federal Reserve, companies and state and local government workers' pension funds collectively held about $9 trillion in U.S. stocks at the end of 2023. Unfortunately, multiple state and local pensions are in. Goldman Sachs analysts estimate that pension funds will reduce their holdings of $325 billion in stocks this year (2024), up from $191 billion in 2023.
In the same way, the bigwigs of technology stocks are also selling, becoming the vanguard and main force of this round of U.S. stock decline.
What else can be done is to let the new funds take over, which has invisibly become a heavy burden for the United States government.
In order to ensure that the United States consortium does not lose money, in order to ensure that the pension does not have problems, and in order to let the pension funds withdraw from the stock market, the pressure from Japan, United Kingdom, and China's treasury bonds is sold, then it can only suffer from other institutions and investors.
Returning to Trump's point of view, in addition to making it possible to smoothly adjust the funds, Bitcoin is also an important part of it.
After all, the bigwig used Bitcoin to bind Tesla's operation to lure a wave of retail investors into Bitcoin to take over, and when the bigwig ran away successfully, he fell again, superimposed on the impact of the dollar interest rate hike cycle, which was basically halved in price, making countless Bitcoin investors suffer heavy losses, and countless liquidators.
The huge fluctuation of the price of bitcoin and the ability to repair itself lie in the fact that it does not have any endorsement, does not have any underlying assets, and the number of bitcoins itself is limited.
Since its pricing is arbitrary, Trump and Musk can certainly run wild at will, influencing the price of Bitcoin by releasing news and other means, causing huge fluctuations and creating huge spread space.
Musk, who is good at this, is of course the best choice for Trump to operate Bitcoin.
It is not only the two of them who are eyeing this piece of meat, BlackRock, the world's largest asset management company, has also begun to lay out the bitcoin market early and has become the world's largest bitcoin original cryptocurrency fund. The exchange-traded fund (ETF) holds $19.68 billion in Bitcoin, surpassing the $19.65 billion Grayscale Bitcoin Trust, while the third largest is Fidelity Investments' $11.1 billion Bitcoin ETF.
It can be seen that Bitcoin has long formed a pattern of stocks, and many large market makers have already laid out in advance.
Considering that Trump chose to cut interest rates when he came to power, this also warmed up for Bitcoin to push up again.
This scythe is already waiting for you.
Just wait for the dollar to cut interest rates, and start the harvest.
Therefore, when Trump saw the huge business opportunities inside, he could not wait to announce that he in the opposition would deploy after taking office, revealing it clearly, that is, to be one step ahead, seize the opportunity and fruit, and prevent others from coveting and sneak attacking.
