The collapse of centralized financial institutions – including FTX, Credit Suisse, First Republic Bank, Silvergate Capital, and Signature Bank, among others – has increased the investors’ appetite for risky assets like Bitcoin and Gold.
Tech Billionaire Elon Musk has compared the recent banking crisis with the 2008 financial extremity. Moreover, the 2008 financial crisis, which brought forth Bitcoin in 2009, was preceded by the collapse of Lehman Brothers Inc., which was operational for 158 years.
With the United States Federal Reserve printing massive amounts of dollars to save the collapsing banking industry, Bitcoin prices are expected to soar higher in the coming years. Moreover, more countries are expected to adopt Bitcoin as a deflationary asset, if not legal tender.
Bitcoin Beats hyperinflation
Speaking on CNBC’s Power Lunch with Kelly Evans, Strike CEO Jack Mallers, discussed the role of Bitcoin in the ongoing banking crisis. Mallers is convinced Bitcoin price will hit $1 million, fueled by global hyperinflation.
According to Mallers, the Fed has tarnished its name by printing more money to save the banking industry despite claims to reduce inflation to 2 percent. As such, Mallers expects tomorrow’s FOMC statement on the interest rate to push Bitcoin prices to higher demand.
Moreover, Mallers reiterated the fact that there would only be 21 million Bitcoin units despite the increase in demand.
Notably, Mallers bashed the altcoin industry for being centralized, with founders holding massive coins at the expense of the secondary market. As such, Mallers think altcoins are suitable for speculation and should ultimately be used to accumulate more Bitcoins.
“My overall opinion is that the name of the game is to accumulate as much Bitcoin as possible. Alts are interesting but a lot more speculative. I use them to accumulate more Bitcoin,” Mallers said.
Source: https://coinpedia.org/bitcoin/top-reasons-why-bitcoin-btc-price-will-hit-1m-strike-ceo-jack-mallers/