Crypto Market News: As the US lawmakers look to vote on the much anticipated bill to lift the $31.4 trillion debt ceiling, the United States’ overall macroeconomic scenario continues to look unstable, in the midst of a series of interest rate hikes by the US Federal Reserve and the regional bank crisis. This is besides the global economic distress amid the Ukraine war. In this context, concerns of dedollarization have in recent times emerged, whereas a section of financial market participants began looking at Bitcoin as a safer alternate with high returns in turbulent times.
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Irrespective of the global financial turmoil, some of the largest companies began adopting the web 3.0 world despite the lack of regulatory clarity. In August 2022, asset manager Blackrock has now launched a spot Bitcoin private trust while also stitching a partnership with US based crypto exchange Coinbase.
Dedollarization Could Be Bullish For Bitcoin
In a latest, Larry Fink, the chief executive officer of BlackRock, said the US is at heavy risk of having the pole position with regard to the Dollar being the reserve currency. While the market is expecting that the central bank cools down its monetary stance, rising inflation only forces the Fed to continue with policy tightening.
“The United States is jeopardizing its reserve currency status with US debt ceiling drama. There will be pockets of problems, like commercial real estate.”
Hence, questions remain about the ongoing economic uncertainty and whether it will benefit Bitcoin price in the months ahead, amid concerns of a collapse in the commercial real estate market. The top cryptocurrency rose by a staggering 63% since the beginning of the year 2023, at the back of a struggling year in 2022.
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