- Bitcoin continues trading sideways but is slowly inching towards $10,000.
- There is a strong bullish case for Bitcoin and crypto in general due to the inflation problem.
Bitcoin broke $10,000 again on June 10 but got rejected and dropped to $9,700. The top-ranked cryptocurrency is trading at $9,550 at the time of writing after a steep consolidation due to the recent rejection. Bulls are looking to hold the daily 12-EMA at $9,679. A loss of this EMA will be significant and it hasn’t happened since May 21.
Warnings about inflation could help Bitcoin in the long-term
The current Coronavirus pandemic is making a lot of people to look for alternative investments as the continuous printing of US dollars is scaring a lot of investors with inflation fears. Paul Tudor Jones, an American billionaire hedge fund manager, thinks inflation will be a problem that can’t be stopped in the near future if the Federal Reserve continues with its current practices.
Trying actually to fight inflation is going to be really challenging because I don’t think they’ll be able to raise rates enough without having a [really] deleterious effect on the rest of the economy
said Tudor Jones
Cryptocurrencies can solve the issue with inflation thanks to their limited supply. Additionally, Bitcoin’s supply rate gets cut in half approximately every 4 years. Either way, no one can create more Bitcoins, in fact, many Bitcoins are most likely lost forever.
BTC/USD daily chart