Perfect time for bitcoin to prove itself against petro dollar and the Central Bank to BTC Instantly

There seems to be a perfect occasion for you to do that for bitcoin to prove itself and to show the world why fiat is not the best option. A number of market events, explains that the vulnerability is exposed to an inter-connected financial system that is built on debt and financial engineering.

Black swan

Wikipedia defines a Black Swan as follows: – black swan-the economics of an unexpected event is identified, there is an event that no one before has seen it coming or predicted it. Such an event disrupts all existing business models, and it can be very harmful for the well being of his.
The corona virus Covid-19 is becoming more and more as a Black Swan event like the world is overwhelmed. The markets are responding to the changing and closing of a supply chain which is the engine of our global economy, spits. It is expected that this will impact in the next few weeks, the financial markets will be affected.
This past weekend, the world seemed to be full based on the spread of the virus, in Russia and came out of nowhere and created a black swan. In the country, against the wishes of the oliekartel SUPPLY, by saying that their oil is not going to reduce it. The kingdom of Saudi Arabia has reacted and the price dropped by more than 30%. For more on this, read our article, etc.).

The petro dollar as the drukmiddel

For many years, the countries that have been excluded from the SUPPLY are separately trying to pick up the petro dollar (not to be confused with the encryption of Venezuela). Petro dollar means that other countries are forced to make oil and to buy U.s. dollars. Dissenters from the SUPPLY in response to this, oliecontracten are prepared in Chinese yuan and Russian ruble, which allows for more direct trade occurs between Iran, Russia, and China. These countries, therefore, the model of the OPEC countries are not always sustainable. What is Russia now, let’s see, then, is an attack on the hegemony of OPEC.
But for how long that attack will last? It is clear from the graph below. This is the cost for the extraction of a barrel of oil for each country.

The countries of the Middle East seem to be in this fight longer than a lot of other countries as well. The question is whether or not they are willing to do that, because the Russians are saying that they have this for years to be able to keep up.

The financial markets were, we will be in a state of panic. The shares have been disposed of and the markets were to hold on to the panic in bonds. The system is also vulnerable, and the combination of the COVID-19, and the oliebeleid of Russia, the onset of a recession, but they certainly are not the root cause.

Treating the symptoms instead of the problem

At the heart of cheap debt that our financial system is built. Just think of the debt of the companies, which is due to the low interest rate environment will only increase. The companies were able to own shares in buy-back so that the intrinsic value has increased. There is a lot of fear that the system is not anymore able to keep up.
It would seem that the FED has no such fear, sharing, judging from the amount of money that they are each and every night and the pump in the repomarkt. They are part of the 75% or more! All eyes are on Jerome Powell, the FED. The actions of the Americans, will have to be adopted. The next Federal Open Market Committee will take place on the 17th of march. How much are they going to cut down? It’s time for the announcement of a fourth quantitative easing? In the last week, it was announced that it is lowering the interest rate by 50 basis points, and is completely ineffective.
However, there has been speculation that the FEDERAL reserve’s interest rate to 0% would decrease it.

The basis is decisive for the course

Our current financial system is fragile. That is reflected in the prices of various assets, but this will be driven by the underlying as the basis.
In the eyes of many traditional investors, bitcoin is not a safe haven for you to escape from the system. Not bad, an asset that is just ten years old his stripes are still making a living and the koersgeschiedenis of bitcoin, it is likely to be too short for investors to have a real safe haven is to be considered.

Block after block after block

However, the price is only the tip of the iceberg. The rest of the story is made up of a strong, underlying foundation. Yesterday, took the difficulty to set bitcoin to mine with more than 7% during the year to determine the average time between blocks at 10 minutes. This indicates that there is more computing power in the bitcoinnetwerk added. Moreover, Bitcoin Core, is the most popular protocol for the nodes, and version 0.19.1 of the software will be released. This indicates that the developers of bitcoin is to constantly continue to improve.
Go back to the Central Banks of the us financial system, as they will use the same tricks to keep out those on the two previous occasions it has not worked, why would it then work? If you think that the interest rate cuts and printing money is the solution to the systematic problems?
The current monetary system needs to be fixed, and a distributed asset, such as bitcoin, may have an important role to play.

About the author

Jeremiah Faber

Jeremiah is an explorer by heart – both in the physical and the digital realm. A traveler, Jeremiah continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Jeremiah and through his business acumen has gained financial profits as well as fame in his business niche.

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